YouTube says it plans to make all future original programming available to users for free with advertising as it seeks a bigger audience for shows and movies that had mostly been restricted to paid subscribers.
The shift in strategy means that starting next year, YouTube Premium will no longer have exclusive access to original programs, removing one of the main benefits of the subscription offering.
The paid option for the video streaming unit of Alphabet Inc's Google will still remove ads from originals as well as all other videos, and it comes with music streaming privileges.
YouTube said its move to make programming free was aimed at satisfying growing international user interest in original programming and advertiser demand to associate with special content. The move also gives the company more flexibility in marketing its programs.
Sign with logos for Google and the Google-owned video streaming service YouTube at the Googleplex, the Silicon Valley headquarters of search engine and technology company, in Mountain View, California, April 14, 2018 /VCG Photo
Sign with logos for Google and the Google-owned video streaming service YouTube at the Googleplex, the Silicon Valley headquarters of search engine and technology company, in Mountain View, California, April 14, 2018 /VCG Photo
"As we look to 2019, we will continue to invest in scripted programming and shift to make our YouTube Originals ad-supported to meet the growing demand of a more global fanbase," a YouTube rep said in a statement, according to the Variety. "This next phase of our originals strategy will expand the audience of our YouTube Original creators, and provide advertisers with incredible content that reaches the YouTube generation."
According to Variety, the new strategy is called "Single Slate" by the company. YouTube's original programs, including shows and films, are expected to be free for all YouTube users by the year 2020. But some original productions like the "Cobra Kai" (season 2) next year, will remain exclusive for paid users.
Susan Wojcicki, chief executive officer of YouTube Inc., stands for a photograph after the company unveiled a new television subscription service at the YouTube Space LA venue in Los Angeles, February 28, 2017. /VCG Photo
Susan Wojcicki, chief executive officer of YouTube Inc., stands for a photograph after the company unveiled a new television subscription service at the YouTube Space LA venue in Los Angeles, February 28, 2017. /VCG Photo
The repertoire of YouTube Originals has made the crucial reason for the value of its paid service. With 11.99 US dollars per month, a user cannot only enjoy the full lineup but also ad-free and offline viewing.
Actually, YouTube has this year expanded its Premium service, known as YouTube Red, to 29 countries, with more than 50 shows premiered, according to the Variety.
YouTube hasn't disclosed the number of subscribers under its Premium subscription service.
(Top Photo: YouTube Inc. signage is displayed before the company's new television subscription service was unveiled at the YouTube Space LA venue in Los Angeles, February 28, 2017. /VCG Photo)
Source(s): Reuters