Universal Music Group, the nation's largest recording company, and YouTube are closing in on a final agreement to create a new premium music video Web site, according to sources close to the negotiations.The sources said that the proposed service, which is tentatively named Vevo, would be a destination site closely linked to YouTube. Should an agreement be reached, Vevo would likely be the largest music-oriented site on the Web. Talks are ongoing, but a deal could be reached as early as the next few weeks, sources said. A YouTube spokesman said: "We are always working with our partners to find creative ways to connect music, musicians, and fans." Universal's YouTube channel is by far the largest on the video site. The label's music videos have been viewed more than 3.5 billion times. Vevo and the joint venture with YouTube were born out of a year-long campaign by Doug Morris, Universal's chairman and CEO, to build music videos into a standalone business. CNET News first reported in September that Universal Music was planning a "Hulu-like" site. Morris and Universal have been intent on creating a premium digital music-video business. According to the sources, label executives believe Vevo is the answer. A standalone music site--which would feature traditional music videos and interviews, along with other artist-driven content--is designed to attract high-end advertisers, some of whom may have been skittish in the past about advertising alongside YouTube's user-generated videos.
Posts
No comments:
Post a Comment