YouTube may be expanding its business model into subscription-based video-on-demand (SVOD), according to Variety.
The entertainment trade magazine cites an anonymous content creation studio that revealed YouTube is “exploring the prospect of launching its own subscription VOD service,” in a similar vein to its YouTube Music Key, the ad-free music platform that gives users access to 30 million songs for $7.99 (£9.99) a month via Google Play Music. The studio says that it was approached last year to develop content for the SVOD platform.
The move could see the YouTube enter into direct competition with SVOD giants Amazon Prime Instant Video and Netflix, plus Vimeo, Vessel and Hulu, all of which have moved into offering exclusive content and paid ad-free viewing.
Source: The Next Web