A day after announcing a poorly-conceived deal with YouTube, Verizon Wireless is at it again, bringing more video to its VCast service. This time it's signed a deal with Revver, the online video site that inserts ads into user-generated videos, and splits the revenue with the creator. It's not clear whether this deal, like the one with YouTube, will only give customers access to a limited selection of online videos. But even if it offers the full slate of content on the site, the deal seems like a bad one for Revver. The deal gives Verizon Wireless exclusive access to Revver content for the next 12 months. You have to imagine that the next 12 months are going to be pretty big for the wireless video space, and here Revver is promising to cut itself off from a major part of the market. This probably won't make Revver's users very happy, at a time when an more and more sites are exploring models that involved paying the contributor. Obviously, Revver and other fledgling services will be tempted by the immediate payments, but making deals that could hamper their future growth doesn't seem wise.
If you liked this post, you may also be interested in...
- DailyDirt: Faster Than A Speeding Bullet...
- Some Dell Shareholders Don't Know Much About This Leveraged Buyout, But They Know They Don't Like It
- George Lucas Finally Relinquishes His Tight Control Of Star Wars... To Mickey Mouse
- DailyDirt: Coins Worth More Than Gold
- Surprise! AT&T Admits Defeat, Withdraws T-Mobile Takeover Attempt, Pays $4 Billion Breakup Fee