YouTube Negotiating to Stream Rental Movies

Paul_Lilly

It's too early to tell if a deal is in the making, but YouTube is at least talking to several major movie studios about the possibility of streaming feature films as rentals, CNet reports.

Studios said to be discussing licensing agreements with YouTube include Sony, Lions Gate Entertainment, and Warner Brothers. But at least one studio exec who claims to be familiar with the talks said no deals are imminent and that having these discussions isn't out of the ordinary.

"Why wouldn't the studios talk to YouTube," the exec said.

Why wouldn't they, indeed. With over 100 million viewers, streaming rentals has the potential to be a win-win proposition for both the Google-owned site and the movie studios. It would also be cause for concern for other streaming services, like Hulu.com and Crackle.com.

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