Viacom Sues Google for $1 Billion
March 13, 2007 2:27 PM
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One of cable's largest media conglomorates has opened the litigation against YouTube
Viacom today announced it has filed a lawsuit against Google in U.S. District Court for the Southern District of New York. Viacom filed the lawsuit claiming that
Google intentionally committed massive copyright infringement of Viacom’s entertainment properties
. The lawsuit seeks more than $1 billion in damages, in addition to an injunction that will prohibit Google/YouTube from further copyright infringement.
In its statement, Viacom said that “almost 160,000 unauthorized clips of Viacom’s programming have been available on YouTube and that these clips had been viewed more than 1.5 billion times.” Viacom would have greatly preferred these page views to have come from its own online video sharing website iFilm, so that it would have been able to receive advertising revenue.
Viacom also said Google,
which acquired YouTube in 2006
, has built a “lucrative business out of exploiting the devotion of fans to others’ creative works in order to enrich itself and its corporate parent.” Essentially, fans of content not owned by Google are watching the “creative works” on YouTube while Google benefits from and exploits these users’ devotions to these T.V. shows.
Viacom went on to say that YouTube’s entire business model is “based on building traffic and selling advertising off of unlicensed content.” Viacom’s statement even says that Google is avoiding taking “proactive steps to curtail the infringement on its site.” YouTube missed the
anti-piracy deadline that it promised to deliver by January 2007
Viacom is also unhappy that it has to police YouTube’s content and says that YouTube has placed “the entire burden – and high cost – of monitoring YouTube onto the victims of its infringement.”
Viacom believes that “YouTube and Google are continuing to take the fruit” of its efforts without permission while also “destroying enormous value in the process.” Viacom also added a little sentiment by saying the value “rightfully belongs to the writers, directors and talent who create it and companies like Viacom that have invested to make possible this innovation and creativity.” Despite the added emotion, however, there is no doubt that the lawsuit centers on money.
After unproductive negotiation Viacom believes that its only choice is to “turn to the courts to prevent Google and YouTube from continuing to steal” its content and to gain compensation for damages.
Prior to 2006, Viacom owned CBS broadcasting networks. CBS Corporation has also scrutinized YouTube; the company recently
declined a content sharing program
that was slated for 2007. Viacom, on the other hand, has
chosen to partner with Joost
for its online content sharing platform.
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RE: Two things...
3/13/2007 3:48:59 PM
I agree. I think the advertising revenue is the issue, and while yes it was broadcast at one point it was done so with advertisements meant for a specific market that paid for a timeframe.
By posting to YouTube, Viacom's advertisers are either left out or if the commercials aren't stripped, they end up getting more advertising than they paid for (sometimes inappropriately given the market which is why the online ads are shown instead).
Viacom is clearly in the right here however the real innovation that is likely to be curbed by this is Google's not Viacom's.
Whatever happens, I just hope that it doesn't end up with more DRM in this world. I really want to be able to watch (or listen to) whatever it is I pay for including broadcast content, wherever and whenever I want.
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