Verizon Wirless announced today that it would begin offering videos from YouTube to its V CAST video subscribers beginning in early December. The deal is a limited-time exclusive: for a while, anyway, Verizon will be the only mobile service to offer YouTube selections to U.S. mobile phone users—and the company is clearly hoping the deal will create an upswing in subscriptions for its mobile video offerings. Financial terms of the deal were not disclosed.
“Delivering YouTube content gives V CAST customers a mobile connection to video content that has revolutionized how people are being entertained today,” said John Harrobin, Verizon Wireless’s VP of digital media. “Today’s announcement is groundbreaking for mobile video, and we’re proud to be working with the leader in online video entertainment. This relationship signals Verizon Wireless’ commitment to bring the very best entertainment to V CAST customers.”
Under the deal, Verizon will offer a selection of YouTube’s most popular videos to Verizon V CAST subscribers in the United States; the V CAST service costs $15/month of $3 a day, and includes unlimited downloads of basic video and pay-per-download access to 3D games and premium video.
Mobile phone operators have been eager to offer customers audio and video services for cell phones in order to diversify their revenue streams, but so far U.S. consumers have been less than taken with video offerings, with only about 10 percent of users with video-capable phones subscribing to video plans. Verizon is hoping YouTube’s cache—as well as home-grown videos—will increase interest in its service. Verizon says customers will also be able to post videos captured on their cell phones to YouTube by using a 5-digit code.