Monday, 20 November 2006

YouTube Dapples with Lawsuits Regarding Video Deals

Google, which brought YouTube for USD 1.65 billion, is hoping to convince media companies to allow users to broadcast their content on YouTube. Google was ready to offer upfront payments to media companies for the right to allow users to use their film,TV clips and music on YouTube.

"It's such a mess because they [entertainment companies] have all of these valuable assets that are just locked up with so many people who need to sign off on them," YouTube Chief Executive Chad Hurley said. "I don't know what it requires, if the government needs to be involved."

YouTube usually removes copyrighted material from its site when owners inform it about the problem. Recently the site removed content from Comedy Central's Jon Stewart and Stephen Colbert when Viacom asked it to remove. YouTube also signed a contract with the National Hockey League (NHL) to offer game highlights, the latest deal struck by the video sharing sensation as it attempts to stamp out pirated clips from its site and avoid copyright lawsuits.

However Google's acquisition analysts now believe that unless some meaningful deal is reached, Google will face a string of copyright violation lawsuits. Yahoo on the other hand has brought content at a higher price for a smaller return. But Google is ready to pay a premium price for the video content.