UMG & YouTube Launch Music Video Service

NEW YORK/SAN BRUNO: Universal Music Group (UMG) is joining forces with Google-owned YouTube for VEVO, a music and video entertainment service delivering content from the record label.

YouTube has also renewed and extended its partnership with UMG that allows users to continue creating and watching user-generated videos containing UMG sound recordings and Universal Music Publishing Group’s compositions on YouTube. The two companies will also share advertising revenue on YouTube and VEVO. UMG’s YouTube channel is already the most-viewed channel on the site with more than 3.5 billion views.

VEVO, set for launch later this year, is being billed as a premium online music video hub. YouTube will provide the technology infrastructure that will power VEVO and host UMG’s library of music videos on the new site. Users will be able to access UMG’s catalogue of premium music video content, including professionally-created and full-length videos on VEVO, as well as artist-generated content and user-generated content hosted on YouTube. VEVO will also serve as a syndication platform, expanding the reach of the VEVO brand. 

"VEVO will bring the most compelling premium music video content and services to the world’s single largest online video audience," said Doug Morris, the chairman and CEO of UMG. "We believe that at launch, VEVO will already have more traffic than any other music video site in the United States and in the world. And this traffic represents the most sought after demographic for advertisers, especially as advertising dollars continue their shift from old media to new. VEVO will be uniquely positioned to monetize this opportunity and a host of others as we grow it to become "the" destination for premium music video content online. For music lovers who want the best in music videos, the VEVO experience will be second to none. At the same time, VEVO will expand the premium video marketplace, generate new revenue streams for content creators, and provide brand advertisers an unprecedented opportunity to get in front of a highly engaged audience. We couldn’t be more excited about the huge potential we see in the VEVO service."

Eric Schmidt, the chairman of the board and CEO of Google, added: "Technology has allowed fans to discover music in endless ways while creating new business opportunities for artists and labels alike. At Google, we are committed to promoting greater innovation and choice and are thrilled to be working with UMG in what will surely be an exciting new service for consumers, advertisers, content creators and the music industry at large."