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Tune in on 17th July for the Small Business Virtual Summit with Cisco. Register now!
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Last Updated : Jul 04, 2013 01:48 PM IST | Source: Reuters

YouTube invests in video music site Vevo

Google Inc's YouTube said that it had made an investment in online music video hub, Vvo. According to the renewed partnership, it allows Youtube to feature on Vevo's music videos on its website.


Google Inc's YouTube said on Wednesday that it has made an investment in Vevo, an online music video hub that provides some of the most popular content on YouTube.


YouTube and Vevo also renewed the partnership that allows YouTube to feature Vevo's music videos on its website, with the two companies sharing the ad revenue.


Also read: Twitter begins cookie-based ad targeting


The original partnership deal, which dates back to 2009, ended in December, but had been temporarily renewed while the two companies negotiated a renewal. The companies did not provide details about the terms of the renewal.


The size of the investment, which YouTube did not disclose, was between USD 40 million and USD 50 million, according to Billboard.


"We made an investment in Vevo. We are excited by their future prospects and to provide YouTube users with the best possible music experience," YouTube said in a statement.


Vevo, which is a joint venture owned by Universal Music Group, Sony Music Entertainment and Abu Dhabi Media Co, did not return requests for comment.


Vevo streams music videos on its own website. It also has a co-branded "channel" on YouTube that features music videos from popular artists, including Rihanna, Adele and Lil Wayne.


Vevo was the most popular partner channel on YouTube in the United States in May, with 50 million unique viewers, who spent an average of 36.1 minutes on the channel, according to industry research firm ComScore.

YouTube is the world's most popular online video destination, with more than 4 billion video streams every day. While much of the fare on YouTube consists of amateur home videos that users upload to the site, YouTube has stepped up efforts in recent years to provide professionally produced videos.

First Published on Jul 4, 2013 01:48 pm
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