After a lot of speculations, YouTube has finally given its greatest announcement to the date that the company is going launch new subscription service of music. In California, the CEO of YouTube Susan Wojcicki said that the company is presently working on a paid-for service, and users can see any time soon.
It is well expected that this new service from YouTube may rival Spotify by offering advertisement free & offline access to the millions of Videos. But still Ms Wojcicki refused to tell, when exactly the service will be launched during the Recode’s mobile conference at California. They have not even declared the price either.
Rumours about the rivalry of YouTube and Spotify started a year ago when ‘two individuals familiar with the matter’ proclaimed that this is going to happen any time in future. It is expected from YouTube that the playback of features will be without advertisements and also allow the individuals to watch those videos even when they are not connected with internet. This would match the features offered by Spotify for its paid subscriptions, but it would be given some more features.
According to the report, YouTube has officially reached out to sign deals with three major music companies – Sony Music Entertainment, Warner Music Group and Universal Music Group and numerous independent companies, representing almost 95 percent of all the music groups.
The sources included that there are some independent artists who have not agreed with terms of the deal will have their videos blocked in various countries, even on the free version of YouTube. There is a rumor that YouTube is looking for the ways to block the videos so that users of test version are not confused, what exactly they can access for free and what features they will have with paid members.
This will pressurize those music labels to sign the deal as they won’t be able to upload their videos on YouTube, which as a result will give them less revenue for the advertisement and exposure. It won’t be the first time that YouTube has tried different things with paid-subscriptions.
During the May last year, the Google-owned Video giant began paid- membership, which charged its users from 79p (99 cents) a month to watch Videos on master channels, for example, Comedy.tv and PGA Digital Golf. Individual channels charge more for a membership if they decide to, and the larger part of UK memberships charge £1.49 ($2.50) a month. More than 50 channels started as subscriptions only, yet not all paid-for channels can be subscribed to in the UK – which includes National Geographic Kids and Jim Henson Family TV.
This will make the people see real healthy competition amongst the giants in Video Streaming. Though the date of its release has not been confirmed but people have already started waiting. This will result in better services for the users from both the companies. In Today’s scenario more people are streaming videos online – and most of the leading companies are trying hard to be their provider.