Why Facebook Wants to Share Video-Related Ad Revenue (video)

Why Facebook Wants to Share Video-Related Ad Revenue - Facebook will begin sharing advertising revenue with companies that post videos on its social network, a step toward luring more premium content away from sites like Google’s YouTube. Bloomberg's Lucas Shaw reports on "Trending Business." (Bloomberg, July 2, 2015)

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Google, YouTube, Advertising, High Margins

Google’s YouTube Scooping up the Ad World at High Margins, Says Nomura: "... analyst Anthony DiClemente with Nomura Equity Research today offers up his model for what revenue may be at the company’s YouTube property, which is benefiting from share shift in advertising to online, and has “the healthiest margins in streaming video.”... DiClemente notes the business has much higher profit margins than Google overall...Google’s YouTube is in the front lines in offering video content against which brands can advertise, writes DiClemente... We expect premium content and increased engagement from MCNs [multi-channel networks] to drive higher views per user and more overall viewing of YouTube videos, growing at an accelerating pace through 2017E. Facebook (FB) is the seond-biggest online video destination, he notes, and is trying to lure away YouTube’s advertisers. But the market is big enough for multiple contenders... DiClemente also compares YouTube to Netflix: next year, YouTube may have $5.88 billion in revenue, just behind a $6.1 billion he projects for Netflix. But because YouTube is mostly user-generated, it’s not as expensive as Netflix’s content acquisitions, giving YouTube a 59% Ebitda margin versus just 10% for Netflix. Google stock today is up $2.74, or half a percent, at $596.03."

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Internet TV Is More Popular Than Cable TV in the US

The Internet Is Officially More Popular Than Cable in the U.S. | Business | WIRED: ".... Traditional TV as a format already is being engulfed by the open-endedness of the internet. From mainstream streaming services like Netflix, Hulu, and Amazon Instant Video to niche sites like Funny or Die to YouTube celebrities—to name just some of the options that fall under entertainment—the kinds of moving pictures available and the ways to consume them have never been greater. Within this broader spectrum, cable as a concept could become just another niche, one channel among many as the insatiable internet swallows everything it encounters." (read more at link above)

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YouTube refresh, television app, set-top boxes, game consoles, smart TVs

YouTube refreshes television app for set-top boxes, game consoles and smart TVs "...The refreshed interface should pop up soon -- it's available now with Xbox One, and Google plans to roll it out to other devices within the next few weeks." https://www.youtube.com/tv

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Performing Without Net, Stars of YouTube

Performing Without Net: Stars of YouTube Take to the Stage - NYTimes.com: "This was DigiFest NYC, part of a booming corner of entertainment where social media stars — people who have created mass followings on YouTube, Instagram and Vine — step out from behind their bedroom webcams. The festival, which rolled into the parking lot at Citi Field in Queens on Saturday afternoon, was headlined by Our2ndLife, or O2L, a group of guys who became famous by videotaping themselves trying to balance cotton balls on their heads and drinking anchovy and hot pepper smoothies...." (read more at link above)


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YouTube coming to cable TV set-top boxes

YouTube is coming to cable TV set-top boxes, with a little help from the cloud — Tech News and Analysis: "....At the center of UPC Hungary’s YouTube roll-out is a technology called CloudTV that’s been developed by the San Jose-based cloud video technology specialist ActiveVideo. CloudTV is essentially an OnLive-like service for TV apps and content. This means that the YouTube app isn’t actually installed on the set-top boxes that UPC’s Hungarian customers have in their living rooms. Instead, it is rendered in the cloud and delivered as a personalized video stream to each and every box. And whenever a viewer presses a button on their cable box remote control to jump from one YouTube clip to the next, the cable box sends a control command to the cloud, where the stream is changed on the fly, with a latency of 500 milliseconds or less. The big advantage for UPC is that it doesn’t need to ship new hardware in order to deliver YouTube and other apps to its customers. That makes this cloud-based approach not only cheaper, but also a whole lot faster than transitioning each and every customer to new devices...." (read more at link above)

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Next Big Threat to Cable TV, Loss of Ad Dollars To YouTube, AOL

The video viewers are not on cable anymore --

Cable’s Next Big Threat: Loss of Ad Dollars To YouTube, AOL - Digits - WSJ: "It turns out that cord-cutting isn’t the only threat facing cable channels. Several of the big ad-supported online video outlets, including Google’s YouTube, AOL and others, plan this upfront season to target some of the ad dollars that currently flow to cable channels, industry executives say. The web video outlets see a vulnerability in second tier cable networks, and to a lesser extend in the local TV-station market, executives say. According to multiple media buyers and ad sellers in the Web video industry, digital media companies are looking to draw direct comparisons between their audiences and cable TV networks, a match-up Web video outlets think they can win. Buyers say Google is likely to be the most aggressive on this front, given YouTube’s massive size and its young demographics that don’t necessarily watch a lot of TV. The company has been selling directly against cable networks, with pitches like “X YouTube net reaches more women than E! or Awesomeness TV reaches more tweens than ABC Family.” In one pitch, for instance, YouTube cited Nielsen data from November showing that it reached 49% of all 18 to 34 year olds, versus 45% for FX, 44% for TBS’ comedies, 41% for Comedy Central and 40% for AMC...."

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Yahoo vs YouTube, video online

Ready for Marissa’s Closeup? Yahoo Is Considering Creating Its Own YouTube (And Poaching YouTube Stars). | Re/code: "...“Yahoo Screen was part one,” said one producer who has agreed to be part of Yahoo’s video effort, about its current offerings. “Now, this is part two.” For now, at least, Yahoo isn’t talking about replicating YouTube’s open platform, which lets users upload 100 hours of content every minute to the site. Instead, it is interested in cherry-picking particularly popular, more professional YouTube fare. Yahoo has also told some video owners that it can use its well-trafficked home page and other high-profile real estate to promote their clips on a non-exclusive basis. After a year, one source inside Yahoo said, it might open the platform up further. One source inside the company said that Yahoo is prepping a new content management system for the effort, although some have suggested it could also buy an existing service like Vimeo...."

But YouTube has a big lead.

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Google, YouTube, Music Streaming Service

Way overdue --

Google's YouTube Could Be About To Launch A Music Streaming Service - Forbes: There’s definitely something afoot and the expectation is that there will be the usual ad supported ability to listen to/watch unlimited material and then the paid level offering an ad free capability. Given how crowded this space is now, what with Pandora, Spotify, Apple , Google’s own All Access and so on, we might wonder whether there’s really all that much room for another new entrant ... the thinking is that the paid service will be pretty much a soft sell. Google makes good money out of the ad based YouTube as it is and could quite happily continue with that model. So the contention is that rather than viewing the paid service as a necessary new “must have” service, it’s more of a way to keep people who really don’t want ads, to stop them going off to one of the other paid services. Google, of course, isn’t commenting on this potential new service... (read more at link above)

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YouTube, TV, No More Sweetheart Ad Deals

YouTube to TV: No More 'Sweetheart' Ad Deals for You! | Digital - Advertising Age: "Once, YouTube begged the TV networks to put their content on YouTube and lured them with ad splits much more favorable than amateur or web-only content. But that's about to change. As contracts come up for renewal, YouTube is treating Hollywood the same as online video producers, with 45% of ad revenues going to YouTube, meaning CBS or Warner Bros. would get the same terms as, say, Machinima or AwesomnessTV. YouTube plans to have transitioned all partners to the new split by January, said sources close to the talks. The transition ends what the online video world referred to as "sweetheart deals," where producers of TV and film would keep up to 70% of ad revenues, similar to the networks' deals with distributors like Hulu. . . ."

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Netflix Video Usage 10 Times More Than Amazon and Hulu Combined

North America online video: Netflix comes in first, YouTube second --

Netflix Video Usage More Than 10 Times Amazon and Hulu Combined | Variety: "Netflix remains the biggest pig in the broadband python, representing 31.6% of all downstream Internet traffic in North America during primetime hours in September — well ahead of any other streaming service, according to a new study. The Internet video-subscription service, with more than 31 million streaming members in the U.S. alone, uses nearly 20 times more peak-period bandwidth than Amazon video, which has 1.6% share, and is 24 times bigger than Hulu (at 1.3%), according to the study by network-equipment maker Sandvine. Meanwhile, YouTube usage continues to climb, with 18.6% share of downstream peak bandwidth in September (up from 17.1% in March). In North America, Netflix and YouTube combined now account for more than 50% of downstream traffic on fixed networks, according to Sandvine. . . ." (read more at link above)

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YouTube, Mobile Media Company

YouTube Becoming a Mobile First Company - Peter Kafka - Media - AllThingsD: " . . . why YouTube placed such high importance on controlling its mobile experience: It is well on its way to becoming a mobile-first company. During yesterday’s earnings call, Larry Page announced that 40 percent of YouTube’s traffic was coming from mobile devices. That’s up from 25 percent a year ago, and six percent in 2011. . . ."

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Microsoft, Google, YouTube, web development

What Microsoft and Google's YouTube row says about the future of web development | ZDNet: "It's not just mobile where there's a problem; there are also compatibility issues on desktop PCs. One example of this comes from the toolbar Google recently deployed across many of its properties, in the wake of the launch of Google+. A drop down shows details of your Google+ account, at least on most of Google’s sites in most browsers. If you're using IE 10 it works just fine across most pages – until you get to one of Google's most popular sites, News. Roll over the Google+ notification icon here and the drop down tells you to upgrade to a more modern browser."

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YouTube Dominates Global Streaming, Netflix in North America

Netflix Dominates North American Streaming, YouTube Wins Global Crown | News & Opinion | PCMag.com: "On fixed networks in North America, Netflix is the "unchallenged leader" when it comes to traffic, controlling 32.3 percent of downstream traffic during peak periods. Coming in second is YouTube, with 17.1 percent of peak downstream traffic in North America, up from 13.8 percent last year. Globally, however, YouTube is the leader when it comes to fixed and mobile networks, making the Google-owned video site "the leading source of Internet traffic in the entire world," Sandvine said." (read more at link above)

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YouTube will use Google VP9 video codec

Google's VP9 video codec nearly done; YouTube will use it | Internet & Media - CNET News: "Google plans to finish defining its VP9 video codec on June 17, providing a date on which the company will be able to start using the next-generation compression technology in Chrome and on YouTube. "Last week, we hosted over 100 guests at a summit meeting for VP9, the WebM Project's next-generation open video codec. We were particularly happy to welcome our friends from YouTube, who spoke about their plans to support VP9 once support lands in Chrome," Matt Frost, senior business product manager for the WebM Project, said in a blog post Friday. WebM is Google's project for freeing Web video from royalty constraints; the WebM technology at present combines VP8 with the Vorbis audio codec. Google unveiled WebM three years ago at the Google I/O show, but VP8 remains a relative rarity compared to today's dominant video codec, H.264." (read more at link above)

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YouTube expands live streaming

YouTube Creator Blog: WE’LL DO IT LIVE: YouTube live streaming expanding to more channels: "YouTube Live allows you to offer your audience a great viewing experience, with great streaming quality and instant scalability and reliability. Here are some key features: You get real-time transcoding in the cloud, so you only need to send us your highest quality stream and we make it instantly available in all resolutions and device formats You can show multiple camera angles, add closed captions, and insert ads and slates Viewers can watch the live stream from any device, get the best quality constantly adjusting to their Internet connection, and can skip back and forth in the live stream" (read more at link above)

France Tel to invest up to 50 million euro in Dailymotion: report | Reuters: ""We have a two-step plan: a first stage that aims to pursue investments that are necessary for Dailymotion to avoid falling behind its competitors, notably Youtube," Richard said. "The second step will be a partnership that could bring viewers to Dailymotion," he added."

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Musicians Making Money on YouTube

A New Way for Musicians to Make Money on YouTube - Businessweek: "Audiam is poised to benefit from music consumers’ shifting habits. “The writing is essentially on the wall for the download model,” he says, as fans switch from buying music on iTunes to streaming songs on such sites as Spotify, Pandora, and YouTube. That’s proving to be a lousy way for even successful artists to earn money. Plenty of striving musicians would welcome revenue from YouTube clicks. “There are tens of thousands, maybe hundreds of thousands of independent composers and performers whose work does appear on sites like YouTube,” Sinnreich says."

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YouTube automates task for marketers buying ads

Google’s YouTube Triples Mobile Sales Amid Wireless Shift - Bloomberg: " . . . . Ad Shift - Seeking to make it easy for companies to shift advertising to mobile video, YouTube automates the task for marketers buying advertising, splitting airtime between computer browsers and mobile devices, Watson said. Companies can also opt out of multiscreen advertising, he said. Electronic Arts Inc. (EA), the video-game maker, is looking to expand commercials on mobile devices, according to Christine De Martini, social marketing and media manager at the company. “YouTube as a video platform is a definitely a key one for our products,” De Martini said. “I would anticipate as mobile consumption continues to grow, we’ll have to find ways to make sure that we reach our audiences on whatever platforms they’re on.”"

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YouTube Triples Mobile Sales

Google’s YouTube Triples Mobile Sales Amid Wireless Shift - Bloomberg: " . . . About a quarter of YouTube’s 1 billion global users now access the service via handheld devices, spurring a increase in promotional spending to reach that audience, according to Lucas Watson, vice president of sales at YouTube. The growth in mobile video-ad sales, disclosed for the first time in an interview, indicates YouTube is making headway in efforts to attract marketing dollars and challenge rivals such as Hulu LLC. With faster wireless networks and accelerating adoption of smartphones and tablets, U.S. mobile video-ad sales are projected to expand to $2.69 billion in 2017, increasing more than 10-fold from last year, according to EMarketer Inc. “The commercial business has exploded,” Watson said in an interview. “It’s a huge part of our business, and we know that’s where it’s headed.”. . . ."

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Add YouTube slow-motion effect to your videos

YouTube now lets you add slow-motion effect to your videos | VentureBeat: "YouTube has just added a new “slowmo” tool to its YouTube Editor enhancements, which does pretty much exactly what it sounds like. “You’ll get a smooth, slomo video that makes it look like it was filmed with a high-speed camera,” the site states on the YouTube creator’s blog. Why would you want to transform your video into slow motion? Well, my guess is about 90 percent of the time it’ll be for comedic effect, and 1 percent devoted to classic rap music videos. The remaining 9 percent of the time it’ll be used in conjunction with YouTube’s other video tools (cropping, audio editing, transitions, etc.) when trying to create something artistic. And apparently, slow-motion videos are quite popular on YouTube, with the site even pointing out that YouTube channel partners The Slow Mo Guys having over 2 million subscribers."

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