...Or read my lips: we won't be in the content business!
After a long period of time denying they won't be in the Internet content business, Google (NSDQ:GOOG) has announced the inevitable, in that they have officially entered the space, as a content deal with "The Family Guy" creator Seth MacFarlane was announced by the company.
The new online series will be called "Cavalcade of Cartoon Comedy," and will launch in September with an initial run of 50 two-minute episodes.
MacFarlane describes the online new online series as "a New Yorker cartoon 'only edgier.'" Fox (NYSE:NWS) has been the beneficiary of MacFarlane's works, as "The Family Guy," along with "American Dad," draws the youngest age group on broadcast television.
This newest series will obviously target a similar demographic.
On the monetization side, several ways of presenting ads will be offered. There will either be a pre-roll or ad overlay included with the video. Or there will be an option offered where a "presented by" from advertisers could be used as a less intrusive way of marketing.
Distribution will be through the company's large Adsense network via third-party publishers.
Interestingly, Google has chosen to promote the new series through its Google Content Network, which has prevously been used for real estate listings.
What that tells me is as far as a business model, YouTube is dead. Building that web property on free usage and no advertising, has created a community that has no monetary value, as attempts to ad professional video content hasn't taken hold, as the two are opposed to each other and don't work together.
This is an obvious move by Google to distant professional content from the free YouTube video site.
There's no doubt this is a significant announcement by Google. The past assertions of not being in the content business have just been blown up, and a direct challenge to the traditional entertainment industry has been issued.
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