In an effort to stay one step ahead of its growing number of competitors, YouTube has announced it will begin sharing advertising profit with its top-drawing performers. This is familiar territory for the company’s new owner Google, which shares profits from advertising syndicated on its adwords partners’ websites. Similarly, YouTube will begin sharing the profits made from banner ads surrounding the videos. It is likely performers will bring in even more money when YouTube begins putting pre-roll advertising on videos this summer.
The issue of sharing advertising profits from YouTube videos could get even more complicated as copyright owners want their share from the video and music used, and often pirated, from them. While YouTube has struck a deal with Warner Music, they are currently being sued by Viacom for $1 billion for massive copyright infringement.
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