San Francisco — After more than a year of rumors that it was on the verge of launching a significant online movie rental service, Google owned popular video sharing site YouTube has moved to bolster the appeal of its outlet by expanding into streaming professionally produced full-length movies through striking deals with several Hollywood movie studios to make their films available to rent online in the US.
In a blog post, YouTube has finally announced on Monday that it is bringing around 3,000 full-length movie titles like “The King’s Speech,” “Inception” and much more for rent to users in the U.S., accelerating its shift into Hollywood entertainment and stepping up competition with Netflix Inc.
“Today, we are going to start bundling around 3,000 new movie titles for rent available to users in the U.S. that will be supported by reviews and behind-the-scenes movie extras,” said Salar Kamangar, head of YouTube, in a post on the company’s blog. “Whether it is short movie trailers, funny movie parodies or full-length blockbuster films, we encourage you to sit back and settle in to the YouTube movies experience.”
Over the coming weeks, YouTube will offer users in the U.S. only thousands of major Hollywood productions, incorporating films from popular filmmakers like Sony Corp., Time Warner Inc.’s Warner Bros., Comcast Corp.’s Universal Pictures and Lionsgate, letting people watch movies on its site and competing with Netflix, Amazon and Apple, which all focus on renting long-form movies and TV shows, according to a statement.
Amazingly, the additions will propel YouTube’s total movie rentals available to more than 6,000. Most of the newer titles will cost $3.99 and up to rent. That will greatly expand the scope of YouTube’s existing video rental store, which launched a year-and-a-half ago but was heavy on indy and Bollywood films rather than major releases.
YouTube’s movie rental page (Credit: CNET)
Along with the rentals announcement, Kamangar also noted that the company is “bolstering” its investments in original content and expects the addition of full-length movie rentals to complement YouTube’s core strengths and help keep users on the site for longer periods of time.
“In addition to the hundreds of free movies available on the site since 2009, you will be able to find and rent some of your favorite films,” the company said in a blog post. “Titles available from memorable hits and cult classics like “Caddyshack,” “Goodfellas,” “Scarface,” “Taxi Driver,” “Inception,” “The King’s Speech,” “Little Fockers,” “The Green Hornet” and “Despicable Me,” all at what Google describes as “industry standard pricing,” and can be watched with your YouTube account on any computer.
“By widening our content partnerships worldwide and stimulating the success of emerging filmmakers, artists and entrepreneurs, we will ensure that YouTube remains the best place for the world to see and discover rich talent,” Kamangar, said on the company’s blog.
“You will discover more and more of the content you love on YouTube, which is now available on 350 million devices. We know this because you are watching videos to the tune of 2 billion views a day. But you are spending just 15 minutes a day on YouTube, and spending five hours a day watching TV. As the lines between online and offline continue to blur, we think that is going to change,” wrote Kamangar, in a blog post.
YouTube, which boasts a huge following by letting users post home videos and amateur clips, is counting on professionally produced content to draw more visitors and keep them on the site longer.
“Our 20,000+ partners–folks like Machinima, Annoying Orange and Ryan Higa–are producing original content for the web and commanding TV-size audiences for their own brand of programming,” Kamangar noted. “In the coming year, we will bring even more content to YouTube. Building on the success of Partner Grants and YouTube NextUp, we are providing even more resources to creators who you will know from TV or Hollywood, and to existing YouTube partners who have already built loyal audiences on the site.”
YouTube’s Hollywood plans come as other online operators with different business models have emerged as competitors. The movies, which are streamed over an Internet connection, can be viewed within 30 days of renting them. Once users start watching the movie, they’ll typically have to finish within 24 hours. The service accepts all major credit cards.
Interestingly, Hollywood has become more willing to endorse deals with operators following the collapse in DVD sales, once the industry’s most lucrative revenue stream.
The new titles should be appearing at youtube.com/movies. Have fun.