Networks discuss YouTube alternative

Posted by Cory Bergman on December 8, 2006

There have been scattered reports over the last week that the networks have been in discussions to put together a video joint venture to compete with YouTube. The idea would be to launch the site and sue YouTube at the same time, leaving the joint venture as the only legal place to watch the video. But Techcrunch reports the negotiations are tough going and that Viacom and Disney have dropped out, leaving Fox, NBC and CBS. And Google is offering big payoffs to the networks. Insiders told Techcrunch that the odds of a deal are now 50-50, and if one does come through, they would likely buy an existing site to convert to the joint venture. The likely candidate: Metacafe.

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