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Google’s YouTube service is ready for a makeover and a new
direction. Looking to turn its popularity into cash, the company decided to
include in its offer full-length TV show episodes, enabling the use of
commercials before, during and after the shows and also the ever-present
banners.
So far, despite its huge worldwide popularity, YouTube did
not prove itself as a significant money maker for Google or its investors,
situation which attracted a lot of pressure on finding a rapid solution to this
issue.
Through a deal with CBS, YouTube will feature full episodes
of shows such as MacGyver, Beverly Hills 90210 and Star Trek, which will be
available either in the well-known size or the new Theatre View format,
specially designed for these long videos. Once users will select the option,
the video will be spread horizontally, the rest of the screen will get darker and
theatre curtains will be displayed on each side of the video.
A post included on YouTube’s official blog explained that
the advertising "will only appear on premium content where you are most
comfortable seeing such ads." Up until now the company’s officials
stressed that introducing video adverts on a 60 second clip might push users
away and such a move is exactly what they were planning and hoping for in order
to start building collaborations and signing advertising deals.
For now, the service will only be available in the United
States but YouTube’s Spokesman Aaron Zamost stated that the company hopes to make
it available worldwide in the near future.
CBS’s content was first requested for online sharing by
Hulu, a company owned by NBC Universal and News Corp. At the time the company
considered that it would be far more profitable to offer the videos through its
own Web site, as Hulu demanded 30 percent of the advertising revenues. The
decision to keep it in the family was indeed considered a good one. It is still
unclear what caused the strategy change but YouTube’s popularity and the
prospect of having millions of new viewers might have had something to do with
it.
YouTube has more than 300 million unique visitors each
month, which translates into hundreds of millions of viewed videos each day.
This year, the popular Web site recorded more than one third of all the
Internet video watching traffic in the United States. Even though Hulu is
focused on these full-length videos and registered the first breakthrough in
this segment, its 3.3 million viewers are no match for YouTube’s huge
potential.
Google is already looking to sign new deals with other TV
networks, in an effort to enlarge its full-length archives. The strategy is
clear: the bigger the selection, the more viewers log on and this attracts more
advertisers.
"It's all about advertisers maximizing their reach and
using the most effective ad format for where the user might be situated," said
Shiva Rajaraman, a senior product manager for YouTube, as quoted by
Reuters.
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