LONDON: YouTube is launching a U.S. premium video and music service that strips out ads as it seeks to generate more revenue from its billion-plus user base and takes aim at online streaming giants including Apple and Spotify.
Starting next year the service called YouTube Red will add shows and movies from YouTube creators including Markham’s Lilly Singh in an effort to grow audiences and fend off fees-based streaming rivals that typically pay creators more for content.
YouTube video stars will collaborate in some cases with third party artists and producers on exclusive commercial content.
“Consumers are embracing paid subscriptions of ad-free content at an incredible pace,” chief business officer Robert Kyncl said Tuesday after unveiling the long anticipated service. He said YouTube Red will launch in the U.S. on Oct. 28 and roll out in other markets soon after.
While maintaining its free, ad-supported service, YouTube said it will give consumers the choice of paying for ad-free access to its video library including music videos along with the ability to download to mobile devices and to have content running in the background while using other apps.
The service also includes a subscription to the Google Play Music streaming offline download and supports the newly launched YouTube Gaming.
