Disney Interactive Media and YouTube, a division of Google, will spend a combined $10 million to $15 million on original video series; those shorts will be produced by Disney and distributed on a co-branded channel on Disney.com and YouTube. The channel will also include amateur video culled from the torrent uploaded to YouTube daily.
The Disney-YouTube partnership follows YouTube’s announcement late last month that it planned to create dozens of channels featuring comedians, sports stars, musicians and other entertainers. It is also offering cash advances to prospective producers that totaled more than $100 million, according to people with knowledge of the plan but who were not authorized to speak publicly. The investments in the channels reflect Google’s belief that the Internet is the third phase of the television business, after network TV (with a few channels) and cable TV (with hundreds).
Source: The New York Times.