For every Google or Yahoo, the short history of the Web is positively littered with "next big thing" startups that got their 15 minutes but couldn't sustain the success in the end. YouTube, started by
a pair of twenty-something friends last year, is in that boat now, except its 15 minutes isn't over yet--and may never be if it can figure a few things out. The first thing the company needs is
advertising revenue. To that end, YouTube's first significant move is this new partnership with NBC, which will pay the home video site to distribute promotional video clips of its TV programs,
including a full highlight reel of next season's new shows.
The Wall Street Journal says Chad Hurley and Steve Chen, YouTube's co-founders, are building an online ad system with "Google-scale
ambitions," in which ads appear alongside certain videos and revenue is split with producers. They also hope YouTube can become a destination for advertisers looking to promote their materials as well
as a means of distribution for companies looking to place their content online. The second thing YouTube needs to sort out is the rampant copyright infringement that occurs hourly on the site.
The
Journal says that on a recent day it found clips from "Today" and "The Daily Show" as well as World Cup highlights and concert footage.
Read the whole story at The Wall Street Journal »
