Disney and YouTube announce partnership

Two powerful media companies, the Walt Disney Company and YouTube (part of Google) are launching a new partnership, which will make it possible to watch Disney series on YouTube, according to The New York Times. Together, Disney Interactive Media and YouTube will spend 10 to 15 million dollars on new video series, which will be produced by Disney and distributed through a co-branded channel on Disney.com and YouTube.com.

YouTube has expanded its array of film products in the last few months. For example, YouTube has already signed agreements with Warner, Universal and Sony with regard to renting movies via the video platform. Moreover, YouTube will launch channels similar to TV channels. Furthermore, it is said that Google will launch its own cable TV channel in the U.S.

Both parties are likely to benefit from this cooperation. YouTube will be able to compete with cable television and attract a new audience and Disney might attract more Disney fans by using a different platform than Disney.com alone. Disney seems to be struggling to position their online activities successfully, as traffic on Disney.com has deteriorated significantly. Disney hopes to attract a greater audience through the YouTube platform. Hopefully, things will work out for both parties.

Reference: The New York Times