There’s a battle brewing between YouTube and the site’s stars. Some YouTube celebrities are trying to bypass YouTube and sell ads themselves directly into the video. This episode of the New Media Minute explains why that’s a no-no and why stars like Kevin Nalts, now with Hitviews, are playing nice.
Daisy Whitney
The Big YouTube Celebrity Showdown
June 1, 2009
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YouTube is already having enough trouble making money, and getting to profitability, now they have to worry about getting excluded from outside deals their content partners are making.
It puts YouTube in a bad position because they want premium content in their network, but they also want to be compensated for spending the big bucks on distribution bandwidth costs.
I’m guessing that it won’t be too long before they start connecting and integrating brands within content so that they have more control in this important process, and can also make video creators happy by adding value to their overall business model structure.
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