Though most telcos are far from embracing user-generated video for their IPTV services, Verizon has been on the forefront of efforts to combine its programming with that of individual online video creators as a means to differentiate and enrich its FiOS offering.
While its three-screen content partnership announcement with Revver Inc. in January opened many eyes, and ears, there was little detail or discussions as to how and why the unique, business-focused deal came about – until last week at the NAB conference.
Revver video is already a key element of the programming on Verizon Wireless’ V CAST mobile video service and through its Internet offering. Verizon’s wireline unit counterpart still plans to add the user-created content to FiOS sometime later this year, but wouldn’t say when.
Revver’s business model – splitting all revenues with creators 50-50, and its policy of screening all video to block copyright infringing content – made the deal alluring. YouTube, on the other hand, is first focused on traffic generation and has incurred copyright violation lawsuits from Viacom Inc. and others.
“Revver is emblematic of where interactive TV is going and the most important part of our strategy is all content across all cultures,” explained Joe Ambeault, director of interactive applications for Verizon. “Revver brings up new pieces of content and there’s growing interest in other content,” he added in reference to traditional TV programming.
Revver hopes to forge other deals likes it multifaceted one with Verizon. “Finding a way for our content to become ancillary and additive is important,” explained Angela Gytevan, Revver’s vice-president of marketing. The company believes sharing revenue with its content creators is the key to its early success. “We get better content that way.”
And Verizon is looking beyond Revver as well. “We look at user-generated content like any other content,” said Ambeault. “It makes it easier for people to get on the air, but we’re not just going to put up a huge bucket of stuff.”
There’s more to just getting the content and giving its users access to it, emphasized Ambeault. He said that branding is an evolving challenge and that preparing to navigate through the array of available content to find a specific type or channel is also a key to success.
“We’ll also need audience measurement to help monetize the system and make the services better,” he said.
Revver Inc. www.revver.com
Verizon Communications Inc. www.verizon.com
