Google Blocking Set Top Boxes From Showing YouTube Unless They Pay Up? [Techdirt]
It's becoming quite popular for makers of set-top boxes that bridge a connection between broadband and television to incorporate the ability to viewers to watch YouTube videos on television. But, at least one set-top box manufacturer has run into static from Google, owner of YouTube, which has blocked it's users YouTube access. Syabas, makers of the Popcorn Hour line of set-top boxes, has found its boxes' YouTube access blocked by Google after the company declined to sign an agreement with Google for use of the video content from the site. Syabas' COO claims that Google attempted to extract a multimillion dollar advertising commitment from the manufacturer for the rights to show YouTube content.
For Google's part, it claims that Syabas is in violation of the terms of service for the YouTube API, which requires a signed agreement with Google. According to Google's blog post on the issue, there are apparently other set-top manufacturers that have not signed an agreement and may find themselves in the same boat as Syabas.
Techdirt notes that Google's position on the issue is un-Googlelike -- the company is restricting YouTube user-created content which is normally freely available through an API until the set-top manufacturers pay Google for the right to access the API.
Hmmm.
But, Hulu is gearing towards a pay service. Guess Hulu can't pay the bills right now, huh?
Posted by: sineswiper | Tuesday, December 01, 2009 at 09:39 AM
I think people often give Google too much credit (in many ways like Apple) for some of the great positions it takes on various issues --as though the positions are solely the result of some inner moral compass as opposed to directly correlated to business strategy.
Google is many interested in disrupting content providers, (orphan book search is a perfect example) as Goog insures that it does not actually produce exclusive content.
Yet, Youtube's problem is keeping corporate content providers locked in to knowingly or unknowingly providing exclusive content.
Youtube is unlike search, Hulu (remember Google's hubris? going so far as to call hulu clownco?) has shown content providers can easily draw the attention of both consumers and premium advertisers. Once vevo gains steam, youtube will lose substantial music traffic.
That's a huge problem in the long-term for Google.
Posted by: Lenley | Sunday, November 29, 2009 at 07:20 PM
`YouTube makes money on advertising. If you can't do advertising on an STB, you can't really pay the bills. Google doesn't have to give their stuff out for fre everywhere, and the STB manufacturers can make an agreement with another video provider if they'd like.
Posted by: Ian L | Wednesday, November 25, 2009 at 11:16 AM