Ad-Supported Video Deal for Disney, YouTube

BURBANK: Disney Media Networks is launching multiple channels on YouTube, delivering short-form content from ESPN and from the Disney-ABC Television Group, for which the company will be able to sell its own ad inventory.

The ESPN channel, launching mid-April, will include the ESPN Video Player, delivering short-form content and highlights. There will be no long-form content from ESPN’s linear channels. The Disney/ABC Television Group channels, including ones for ABC Entertainment, ABC News, ABC Family and SoapNet, will be unveiled in early May.  The channels, available to U.S. users, will be supported at launch by advertising such as YouTube’s InVideo overlays and traditional display ads. However, as part of the agreement, Disney/ABC and ESPN will also be able to test pre-roll advertising on short-form content.

“This deal provides us with the opportunity to reach a broader online audience, to experiment with different monetization models and to extend the reach of our advertisers within branded environments that they most desire,” said Anne Sweeney, the co-chair of Disney Media Networks, and president of Disney/ABC Television Group. “We look forward to working together with YouTube to reach their vast community with our incredible portfolio of high-quality, short-form content to better serve consumers and advertisers.”

David Eun, the VP of strategic partnerships at Google, added: “We are thrilled to welcome ABC and ESPN into our global content network of premium partners. More and more studios and networks are realizing the power of YouTube to reach a huge and engaged audience. Our diverse collection of ad products, Content ID tools and sophisticated online analytics provide studios like ABC with innovative monetization options, more control over their online content and granular insight into how audiences are interacting with their videos.”