With a new partnership deal with the label

Sep 29, 2009 13:52 GMT  ·  By
YouTube may sign a new partnership deal with Warner rather than just licensing deal
   YouTube may sign a new partnership deal with Warner rather than just licensing deal

Over the weekend it was reported that Warner Music and YouTube were close to signing a new licensing deal. The music label removed its content from the video site last December after it failed to get more money from Google. The two parties have apparently made up and now a few more details on the upcoming deal have surfaced hinting at a new “Vevo-esque” partnership with a twist.

According to All Things D, the two companies are singing more than just a licensing deal and rather a deeper partnership somewhat in the tune of the one YouTube already has with Universal and Sony. The two labels have created a joint venture called Vevo, which aims to be pretty much the Hulu of music videos, with licensed official videos from artists signed by the two labels and a more advertising friendly environment. YouTube will handle the technical side of the site to be launched later this year, which is why many jumped to link the new deal between Warner and YouTube with Vevo.

Initial speculation was that Warner, which so far showed little interest in Vevo, had now paved the way for a deal with the other two labels. Warner would supply its catalogue of videos to the new video site in a non-exclusive deal but would not take an equity stake like Sony and Universal. Now the word is that Warner will partner with YouTube to create a highly customized experience but the videos themselves will still be on YouTube and there will be no separate company set up to handle the new business. YouTube already has an extensive partner program that allows them to create customized channels with their own design and graphics.

The second important part of the partnership is that Warner will handle the advertising for its own videos. This too is now possible on YouTube as the site has recently opened the door for content partners to handle their own advertising in exchange for a cut of the revenue. Warner won't receive any licensing fees anymore, which makes sense since it plans to generate its own revenue on the site. The details are still likely being fleshed out so don't expect Warner artists to make their way to YouTube too soon.