NBC and News Corp have enlisted several Google competitors (MSN, Yahoo, AOL) to be distributors in their content network; this may have caused some tremors at the Googleplex. Looks like The Fear has stopped by Google for a gourmet lunch and a brief visit to CEO Eric Schmidt's office. Already facing a billion dollar copyright infringement lawsuit from Viacom over YouTube's hosting policies, Google now has NBC and News Corp story available outside the subscription wall. News Corp president Peter Chernin had the money quote:
The new venture, which was reported earlier in the Los Angeles Times, could pave the way for NBC and News Corp. to negotiate a more favorable deal with Google than they could do on their own. Mr. Chernin said Google Chief Executive Eric Schmidt called yesterday and said Google will consider signing on as a distribution partner. A Google spokesman confirmed a call took place, but declined to comment on what was discussed. "We value our relationships with NBC and Fox," YouTube said, noting the networks continue to use the site to run promotional clips.Publishing 2.0 blogger Scott Karp If Schmidt is calling people and asking to be part of the new project, as an extension of the existing relationships Google has with both broadcast networks, there may be some fear that YouTube's
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