Channel 4 to sell ads around own content in YouTube deal

LONDON - Channel 4 has struck a landmark deal with YouTube to sell advertising around its own content on the video-sharing site.

Channel 4 show Shameless
Channel 4 show Shameless

It is the first time YouTube has signed such a deal with a UK terrestrial broadcaster. Both firms will benefit from revenue earned through the tie-up, although neither would reveal exact details.

Pre-roll ads around Channel 4 shows on YouTube, such as Shameless and Shipwrecked, will go live on 26 March. Channel 4 already has a similar arrangement with Bebo.

Errol Baran, head of future and digital advertising at C4, negotiated the deal with Jeff Nathenson, strategic partner development manager at YouTube.

The task of selling the inventory will be the responsibility of Baran's 20-strong future and digital media group. It will be sold to advertisers as part of 4oD's package, the broadcaster's catch-up TV service.

Baran said: "It's about ensuring a person's experience of Channel 4 content on YouTube is the same as watching it on Channel 4.com. This came about as we recognised we needed to speak to our audience wherever they are. There are a lot of new possibilities."

Such deals are crucial to YouTube as it looks to generate revenue around its vast user base. Google, which paid £1.6bn for YouTube in 2006, has never publicly revealed how much ad revenue it generates from the site.

Separately, Channel 4's online catch-up service will relaunch on 30 March, as part of a renewed focus on its own digital offer following the demise of planned VoD venture Kangaroo. The broadcaster says it will offer higher-quality video streams, based on Adobe's Flash Player instead of the current Windows Media Player, which means Apple Mac users will be able to use it.

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