Google To Unveil An Ad-Free YouTube Service
YouTube Red to be launched the coming week offering ad free services.
Google Inc. is coming up with YouTube Red which is an ad-free subscription service that comes up with a series of programming targeted to lure paid subscribers on its diversified video streaming platform.
As per the sources, YouTube Red’s subscription fees for a month will be $9.88 which is expected to be launched in the United States in the coming week. This has been a result of several years of development. This service is said to be available when individuals sign in using several applications and devices along with a recent YouTube Music application that is expected to be launched by the end of the fiscal year of 2015. At this point of time the kids application for YouTube will not be supporting the ad free service since it does not have a sign in option as of yet.
The service is currently targeting the United States but in 2016 the search engine giant has plans to extent it to other regions across the globe. Ironically, Apple iPhone and other products users will have to pay $12.99 a month for this service. The reason behind this price hike is that the iPhone maker charges the app makers a 30% fee when in-app purchases are made reports the company’s spokeswoman.
Google on the other hand will now have another stream of revenues where other content partners like the record companies that are relying on streaming revenues through subscriptions to sustain in the market since a decline has been observed in the sales of CD.
Many record label company authorities believe that such initiatives that offer music services ad free options similar to what YouTube is coming up with is actually nor enough to allow the music industry to sustain in the long run whereas a few are paranoid since the tech giant actually took so long to come up with a service of this nature. It is expected that GOOG will actually make licensing deals with record companies again because of this new service.
By coming up with such a service the company is all set to compete with the likes of Spotify and Apple music that are in the music streaming business. YouTube now has a significant edge since it is also a video streaming service provider with a massive clientele.
Previously the company also launched a beta version of its music-and-video subscription service that was termed as YouTube Music Key. However, the company has not revealed the number of subscribers.