YouTube is peeling back the curtain on a paid version of the video site that doesn’t have any ads.
The site, owned by Google, introduced the new $9.99 a month subscription option Wednesday. Called Red, it’ll launch in the United States on October 28 with a one-month free trial.
For the first time in YouTube’s history, it is commissioning original shows that you’ll have to pay to watch, the same way Netflix and Hulu do. But you won’t lose access to the existing free version of YouTube. Red is a supplement.
Robert Kyncl, the company’s chief business officer, called it the “ultimate YouTube experience.” Kyncl said “consumers are embracing paid subscriptions for ad-free content at an incredible pace.”
Time will tell whether they embrace YouTube’s.
Subscriptions are a priority for YouTube because right now almost all of its revenue comes from advertising. It is seeking to diversify its revenue streams by adding subscriptions, just as other major media companies have done.
For the first time in YouTube’s history, it is commissioning original shows that you’ll have to pay to watch, the same way Netflix and Hulu do. But you won’t lose access to the existing free version of YouTube. Red is a supplement.
Robert Kyncl, the company’s chief business officer, called it the “ultimate YouTube experience.”
Kyncl said “consumers are embracing paid subscriptions for ad-free content at an incredible pace.”
Time will tell whether they embrace YouTube’s.
