News Corp. and NBC: YouTube competitor coming

News Corporation and NBC have announced a deal to create a new video distribution site, with the content and distribution channels coming from Yahoo!, Microsoft and Time Warner/AOL. The service will launch this summer with "free" ad-supported TV shows (including Heroes and 24) and movies (including Borat). Big brand advertisers that have already signed deals include Intel, Cisco and General Motors. The content will also probably be available via embedded videos at MySpace, MSN, and Yahoo! web channels and users may be able to upload their own creations.

The source of income is there, the content is there, the distribution channels are there, but will it be enough? I ask you: will this service be a YouTube killer, create its own niche in the online video distribution market or is it a business catastrophe waiting to happen?

News source: Ars Technica

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