YouTube testing free streaming channels — WSJ
YouTube testing free streaming channels — WSJ
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By Sam Boughedda
Alphabet (NASDAQ:GOOGL) owned Google’s video platform YouTube is experimenting with a new hub of free, ad-supported streaming channels, according to a report by The Wall Street Journal on Friday.
The move is the latest by the company to expand its ambitions in video, with the WSJ stating people familiar with the matter told them YouTube is in talks with entertainment companies regarding featuring their shows and movies in the hub of cable-like channels.
The video platform is said to be testing the idea with a few media partners and could launch the offering more broadly later this year.
The report adds that YouTube has discussed taking a percentage cut of ad revenue from the new hub, which is similar to how it operates its arrangement with YouTube content creators, with it receiving a 45% cut and programmers keeping 55%.
The company is aiming to become the go-to platform across various streaming formats. By adding a hub of free, ad-supported streaming TV channels, it will be in competition with companies such as Roku (NASDAQ:ROKU).
A spokeswoman for YouTube told the WSJ that the company is running a small experiment allowing a subset of viewers to watch free, ad-supported channels and is using it to measure viewer interest.
