Vevo Shut Down: What’s Going On?
Vevo has retreated their video-hosting ambitions to focus on deal with YouTube. The video hosting service founded in 2009 as a joint venture between three record companies is admitting defeat. Competing with YouTube is just too tall of an order. The company recently announced the Vevo shut down by shuttering the mobile apps and website. Going forward, Vevo will remain focused on engaging the biggest audiences and pursuing growth opportunities. Most noteworthy, it will continue investing in original content and sponsorships. However, the plan is to phase out its own independently operated platforms. In other words, Vevo is almost entirely succumbing to YouTube, the platform that has long supplied the majority of its audience.
Major labels set up Vevo in 2009, the name stands for “Video Evolution”. As a result, it was a designated streaming service for music videos that would ideally bring in revenue from high-end advertisers. Via a distribution deal with YouTube, it received a cut of revenue from putting its music videos on the Google-owned site. However, this is where the Vevo shut down comes into play.
Vevo Shut Down: YouTubes Dominance
It’s no secret that YouTube is an internet juggernaut. Because of this, YouTube’s power has grown. The video streaming service recently took Vevo’s branding off its music videos. Additionally, they were able to secure permission under a new licensing deal to sell Vevo’s clips directly to advertisers. Most noteworthy, this cuts out the smaller company’s sales force. Although Vevo has been trying to step away from its dependence on YouTube by offering its own suite of apps – these efforts haven’t been met with much success.
Worth noting, through the Vevo shut down, YouTube is spreading its wings wider. The company recently unveiled YouTube Music, a music streaming service with different tiers of subscriptions. Google has thrown their hat into the ring to compete with other streaming giants such as Spotify, Apple Music, and Tidal. With all of these changes, it’s easy to see how YouTube outgrew Vevo and will be interesting to see what their next moves are.