BRUSSELS (Reuters) – Websites resembling Google’s YouTube, DailyMotion and Pinterest could be required by the European Union to seek licenses or income-sharing offers with artists for content material that is uploaded by their users.
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YouTube executives have spent most of 2008 stepping up efforts to develop income streams on the location partly in a bid to maintain content partners pleased. It has been in long negotiations with Warner on how finest to separate revenues till issues came to a head in talks on Friday. Vevo might additionally tap other revenue streams by way of sales of items like concert tickets and merchandise, the sources mentioned.
YouTube, which is also attempting to construct more revenue itself and cut back its outgoing prices, is negotiating harder with the labels for better terms in its favor. Spotify leads the market with roughly 20 million paid subscribers as of June, adopted by Apple Music, which debuted in June and reported 6.5 million paid subscribers in October. But PRS disputed YouTube’s version of events and said it was caught unexpectedly by the announcement in the middle of ongoing negotiations. YouTube will proceed to supply its free, ad-supported service, which has more than 1 billion viewers around the globe.
The music trade says that Content ID does not work properly sufficient and subscription-primarily based services resembling Spotify generate more revenue for the trade regardless of a smaller consumer base. The unique partnership deal, which dates again to 2009, ended in December, however had been briefly renewed while the two firms negotiated a renewal. The firms did not present particulars concerning the terms of the renewal.