which has dabbled with different ways of turning YouTube into a serious
money-maker since acquiring it in 2006, said Wednesday it will begin
making a limited number of films available for rental through the video
service.
posting on a company Web site that it will make five films from the
2009 and 2010 Sundance Film festivals available for rent for U.S. users
starting
“In addition to these five films, a small collection
of rental videos from other U.S. partners across different industries,
including health and education, will be made available in the weeks
ahead,”
The
company has experimented with a variety of advertising formats for
YouTube over the years, though it said Wednesday that an
advertising-based model doesn’t make sense for everyone.
“While YouTube has offered an easy and economical
way for filmmakers — as well as content creators of all kinds — to
instantaneously connect with fans around the world, many of them have
told us that the ad-supported business model doesn’t always meet their
distribution and monetization needs,”
The company said it will invite “a small group of
partners across other industries” to participate in its film-rental
business in the coming weeks.
films will be available for rental through its Google Checkout payment
service, though it did not disclose specific rental fees.
disclose the amount of revenue being made through YouTube, though the
company has said recently that it anticipates that it will become
profitable soon.
In a recent research note,
If
While
pioneered the model of mailing video rentals to subscribers’ homes, it
has also begun making many films available for viewing instantly over
an Internet connection.
Amazon, too, offers instant rental over the Internet at
And Apple makes films available for rental through its iTunes store.
—
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