Within days of Amazon’s announcement to launch a movie streaming service, Google has rolled up its sleeves and jumped into the movie streaming market. The internet giant is reportedly in the process to launch the service for UK before bringing it to the US, where most of the market is already captured by Netflix.
NYPost reports that Google has set aside $100 Million for this project and has been in talks with some Hollywood studios for quite a while. Google may be trying to enter the market through the UK since Netflix does not have a presence there yet and it would be easier for Google to establish itself without much competition. However, Google will not be the only one since Amazon recently acquired a similar UK based service called LoveFilm.
With this new initiative, Google is in for a bumpy ride since some producers like Viacom want Google to do a lot more about privacy before they’ll hand over there prime content. The service, as expected, would utilize a subscription based model. Despite billions of video views each month, some people argue that YouTube still hasn’t been able to generate decent profit for Google and therefore, has been launching several initiatives to monetize its content more effectively. It has also been speculated recently that YouTube is in talks with NBA and NHL to broad cast the games live on its platform.