AfterDawn: News

VEVO wants a better deal from YouTube

Sony Music head Doug Morris has said that YouTube needs to lower the rates it charges VEVO or the companies may be headed for a divorce.

YouTube, owned by Google, charges a significant sum to host the music video site's content.



VEVO is a joint venture between UMG and Sony but they have content from EMI, as well. Warner is the big holdout from the Big 4 labels.

The company sells advertising on official music videos, and pays Google a technology fee from their revenue.

Morris says the rates are too high, however, considering how much traffic VEVO creates for YouTube. Morris also says YouTube rivals are actively looking for a VEVO contract.

Concludes Morris: "Google is charging us a lot of money to put our videos on their platform, and we would like them to reduce their fees. If not, there are at least three other companies who want to take our videos."

Written by: Andre Yoskowitz @ 12 Jul 2012 21:28

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• 6 comments

• iamgq

  does youtube really need vevo? vevo? lol
  

  True thug Afterdawn memeber since 05! Shout out to all those old school member still in the ranks of Newbie! Represent!

  13.7.2012 03:29 #1

• Notcow

  I never use VEVO out of spite. Google hopefully will manage to work their magic and retain a deal with them anyways, because if I remember correctly Google was having trouble making YouTube profitable before companies like VEVO came along. Wouldn't be good to set a trend.
  

  13.7.2012 06:25 #2

• LordRuss

  You know, this seems to be a phase going around... this "we need more money" or "you're charging too much" between companies as of recent; like this BS with the satellite companies black[mail]ing out channels expecting everyone to paying more.
  
  Seems to me that music artists should get wise, take control of their music (unless it's too late) & post it for free. Vevo' just robbing of their money & using this (YouTube) as just one more reason for not paying them (the artist).
  

  http://onlyinrussellsworld.blogspot.com

  13.7.2012 11:57 #3

• JST1946

  Pretty soon they will probably start to make us pay to use the public toilets too.
  

  20 Year U.S.Army Veteran.Vietnam 1969-1972 101st Abn.Div.

  13.7.2012 14:38 #4

• LordRuss

  Originally posted by JST1946: Pretty soon they will probably start to make us pay to use the public toilets too. Dooooo!
  

  http://onlyinrussellsworld.blogspot.com

  14.7.2012 11:32 #5

• JST1946

  It's a bummer when you have to go and don't have any change like the ones they had in Germany to unlock the door.
  

  20 Year U.S.Army Veteran.Vietnam 1969-1972 101st Abn.Div.

  14.7.2012 12:53 #6