YouTube will Soon Unveil a Paid Subscriptions Service
YouTube will soon unveil a YouTube paid subscriptions service for music that will complete with outlets like spotify, according to several people briefed on the company’s plans. The video sharing behemoth plans to introduce it by the end of this year.
YouTube paid subscriptions, Perhaps as early as next month these people said. YouTube paid subscriptions at about $10 a month would be tailored to mobile devices, and give users access to YouTube’s vast catalog of music videos without interruptions from advertising. The YouTube paid subscriptions will also let customers temporally store video on their smartphones and tablets to watch offline according to the New York Times,
A source familiar with the plan said YouTube is not setting up a “pay gate” for music and would continue to allow people to stream music on any device for free if they choose.
The deal would also allow record companies, which have long complained about low per-stream payouts, to reap bigger royalties on YouTube, which has become the dominant listening platform for young people all over the world.
YouTube paid subscriptions channel initiative began in May as a pilot program with a few dozen accounts, including popular brands like Sesame Street and the Professional Golf Association. Now any video creator who has 10,000 subscribers and has been verified by YouTube will be able to set up a new paid channel and charge a fee for access to their content.
The move however is the latest effort to monetize YouTube, which Google bought in 2006 for $1.65 billion and which is believed to generate a modest amount of advertising revenues. YouTube recently launched a number of paid channels for television programs.