YouTube investing in Vevo? That’s smart.
YouTube is about to take a stake in Vevo, according to multiple reports. That would be a smart move, because it would help YouTube to hold on to more than half a billion views a month.
YouTube is reportedly in the process of buying a minority stake in Vevo, the major-label-owned music video platform. AllThingsD reported late Wednesday that the deal isn’t done yet, and the Guardian added Thursday that the investment would be around $67M, giving Google a close to 10 percent stake in Vevo. Regardless of the final number, the deal would make a lot of sense.
Vevo is by far the biggest video publisher on YouTube. Recent comScore numbers show that Vevo clocked close to 565 million video views and more than 50 million unique viewers on the site in December alone. There are few other publishers on YouTube who come close to those view counts, and no one else engages so many people. Check out the chart below for details:
comscore december 2013 youtube
Vevo’s deal with YouTube was up. Vevo had been distributing its videos on YouTube ever since its launch at the end of 2009, but its deal with the Google-owned video site ended in December, and there had been persistent rumors that Facebook had shown interest in stealing Vevo away from YouTube. With a new deal, Google can deepen its ties with Vevo, ensuring that it will be able to show major label-owned videos for years to come. Read the full story at Paidcontent.org