• The New York Times, Monday, March 19, 2007 12:01 PM

After Viacom decided to pull its copyrighted content from YouTube and sue the online video provider for $1 billion in damages, most media reports focused either on the implications for site owner Google or the nascent user-generated video sector at large. But the Times took a closer look at Viacom's broader online ad strategy, assessing how the online posting of its copyrighted content steps on the heels of its progress.

Viacom's biggest gripe is that YouTube has stepped on its efforts to generate Web revenue from its properties' highly popular TV programs. According to Nielsen, more than 80 percent of Nickelodeon's and MTV/VH1's audiences are under 34, as is 57 percent of Comedy Central's. However, Viacom Digital, the online group responsible for all of its Web properties, reported just 284 million streams in January and 18.9 million viewers, according to comScore Media Metrix. This makes YouTube look enormous by comparison: In January, comScore says the Google video site reported 1.18 billion videos streamed and 54.7 million users.

Undercutting Google's massive lead -- Viacom has spent more than $1 billion on Web properties like the video provider Atom Entertainment and Neopets, a content-based Web community for tweens. The company says its programs have been viewed more than 1.5 billion times on YouTube. It's adamant about selling ads itself, to preserve advertiser relationships and enable cross-selling to different platforms. Google, in its proposed partnerships with media firms, insists on using its automated technology to sell ads.

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