When Google introduced its ad model for YouTube, one could’ve expected that ads will show up in ALL cat-and-dog fighting videos (a.k.a. user-generated content or UGC). Instead, it appears that Google’s video ads will only show on videos supplied by the 3,000 professional content providers and 70 independent partner channels.
This quote from TVWeek:
Considering that giant Google spent $1.6 billion for YouTube primarily for its user-generated content, that might come as a bit of a shock. But given that even smaller sites such as ManiaTV have begun to eschew free-for-all user-generated video, it seems to add up to an admission that, while your cousin Joe’s video may draw a lot of eyeballs, it will never draw a lot of paying advertisers.
“There’s a huge audience built around user-generated content but no evidence that it is a profitable business,” said Peter Hoskins, who recently succeeded ManiaTV’s founder, Drew Massey, as CEO.
Hmm, I’ve seen plenty of advertising in shows like the “Funniest Animals” which rely SOLELY on user-generated content. So there HAS to be some money in cat-and-dog fighting videos…