Google Inc.’s YouTube is reportedly in talks with major movie studios about allowing users to stream movies on a rental basis, making it the sites first move towards charging for content instead of making it available for free with advertising, according to a media report.
Wall Street Journal reported Wednesday that YouTube is talking to Lions Gate Entertainment Corp., Sony Corp. and Warner Bros. about integrating newer titles into the existing YouTube site, most of which it would carry a rental charge.
Many of these movies will be made available on YouTube on the same day that they come out on DVD, the report said. It is unclear to what extent older movies or television shows will be part of the new agreements.
Although negotiations are on-going, there is no guarantee a deal may be sealed between YouTube and these entertainment studios.
The report quotes sources as saying that new movie rentals are likely to be around $3.99, the price Apple Inc.'s iTunes charges for new movie rentals.
Meanwhile, in a statement released by YouTube, the company is always working to expand on its great relationships with movie studios and on the selection and types of videos we offer our community.