Vevo is a monster in music video streaming. Currently it has deals with both YouTube and Facebook. In December Vevo delivered 3.7 million video views, making Vevo the largest single internet video provider. On YouTube it is the single most popular channel. Facebook, however, is in talks to make its partnership with Vevo exclusive.
If Vevo were to become an exclusive Facebook provider, then it would be huge news for the social media agency. Not only would YouTube be without its largest provider, but it would lose it to the one service it does not want to lose it to and arguably cannot afford to lose it to. Facebook would, in turn, become the place to go for music video services. As more and more people cut the cords and move to online sources of music, Facebook’s importance as the internet portal would continue to climb.
Advertisements on YouTube would lose out. Not only would there not be as many page views, but those views would become less sticky as music videos tend to better keep people watching until the end of the video. Facebook advertisements would gain in page views and in the stickiness of the ads. This is an important development to keep track an eye on.
