Bebo pens video content deal
A host of media groups including the BBC, CBS and BSkyB have penned a deal with Bebo to provide free content to its 40 million users.
The new “Open Media” system will allow users to store their favorite video and music content within their profile pages, and share it with others on the network.
Bebo expects the content to make the site more attractive to users and therefore increase the value of its advertising.
For the media companies involved, they will use their own video players to distribute content and will retain all of the advertising-related revenues. They will not be charged to distribute their content.
“Every media company is looking for better ways to deliver their content online,” says Bebo President Joanna Shields.
“By opening our platform to media owners, who gain free access to our community while retaining control over their brand, their content and their revenues, we are creating valuable new inventory for advertisers and a new business model for the entire media industry.”
Social networking sites such as Bebo, Facebook and MySpace are hugely popular with younger web users, an important yet hard-to-reach category for advertisers, but media groups have struggled to convert their soaring popularity into revenue.
Facebook recently announced a new advertising system that will let companies introduce ads into the user pages of its 50 million members, and launch dedicated pages on the site for their brands.