Google’s video service, YouTube is set to attempt a foray into pay television by offering thirty content creators a subscription service.
Including the likes of Sesame Street, the Ultimate Fighting Championship & The Jim Henson Co, the world’s biggest video website will grant the content creators the freedom to determine their own subscription fees and the discretion to accept advertisements on the channels they create.
It is no secret that YouTube intended to delve into the world of paid channels and has long been determined to make a significant contribution to quality content creation.
Content created by original television and film producers will be featured on YouTube and the launch of the service includes National Geographic videos for children and videos coming from the HD Net cable channel.
Media Analyst with BTIG, Richard Greenfield, warns that this may subsequently pose a threat to television and cable operators but says the threat is not imminent. Greenfield sees the evolution of new content channels as the future of video programming.
Company officials say that most of the income of content creators will be generated from subscriptions and advertising.