Rumors have been swirling for some time that YouTube might be launching some kind of subscription service for its premium content. Now, the Financial Times is reporting the move could be made as early as this week.
According to the report, Google, YouTube’s parent company, will open up the service with 50 paid channels and subscriptions starting at $1.99 a month. The move would make YouTube a closer competitor to services like Netflix and Hulu and could promote the idea of developing original content for YouTube’s network, something Netflix has already done.
Google told the Financial Times it had “nothing to announce,” but confirmed that it was “looking into creating a subscription platform that could bring even more great content to YouTube.”
Paid channel subscriptions will add an additional revenue stream for content creators and more subscribers means the company presumably could charge more for advertising. The model would help Google finance original content, giving users more of a reason to subscribe.
Source: The Verge