Dive Brief:
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Yahoo is meeting with video producers to plan the release of its own YouTube competitor later this summer.
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To entice video creators to use Yahoo over YouTube,the company is offering more generous revenue-sharing deals and significantly higher fixed ad rates.
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Yahoo plans to sell pre-roll video ads on its platform to help boost revenues.
Dive Insight:
Taking on a behemoth like Google's YouTube is a bold move. Other platforms have tried to offer alternatives to YouTube with little luck, but Yahoo does have some advantages. Most notably, Yahoo has size on its side and, therefore, larger streams of revenue to devote to the project. If it can make the deal sweet enough for decent numbers of creators to upload on the platform, the ad dollars will follow.
