YouTube and Universal Music Group are now reportedly in talks to possibly start a new music video site that would be a separate and premium location for music videos. Universal is the largest music company in the world and if negotiations between it and YouTube succeed we could see the other major music labels follow suit with music sites of their own.
Reuters cites three sources close to the negotiations that were not authorized to speak on the subject. One of the sources told Reuters, “UMG CEO Doug Morris came up with this idea to do a Hulu for music but only with premium music content. We literally just started negotiations.”
According to the sources, the music site is being called Vevo for now, but that is said to be merely a placeholder name.