Viacom Signs YouTube rival Joost for Video licensing

The US media conglomerate Viacom Inc. on Tuesday unveiled its plan to deliver full range of films and television shows for free through the world’s first broadcast-quality Internet television service, Joost, a devastating blow to rival YouTube which was forced by Viacom to pull down company’s 100000 copyrighted videos two weeks ago.

Viacom, the owner of MTV Networks, Paramount Pictures and Comedy Central, said it has reached at a deal with the Silicon Valley based new online video distribution channel, Joost, to distribute video online.

Its MTV, Nickelodeon and BET television networks and Paramount studios will license TV shows and movies for the Joost Internet platform.

On their partnership with Joost, Philippe Dauman, Viacom President and Chief Executive Officer said, “We’re extremely pleased to be working with Joost, and couldn’t be prouder to be a key partner in the launch of the next generation in broadband video technology.”

“In addition to strong partnerships we have with traditional distributors, we will continue to seek out partners like Joost, which has created an exciting breakthrough platform that represents not only a fantastic user experience, but one that is built on a compelling and sustainable business model that respects both content creators and consumers,” Dauman added.

Launched by Niklas Zennstrom and Janus Friis, the founders of Kazaa and Skype, respectively, Joost is still in testing, and is expected to start operations sometime next month after which it will allow users to have free access to thousands of programs and channels, not readily available on the Web, in broadcast quality, supported by ads.

About 20,000 people are now participating in a test of the program. The Joost service, which uses peer-to-peer technologies to distribute material, provides Internet users with lists of videos for viewing at a time of their convenience, and offers a piracy-proof platform, the companies said.

On their new service, the co-founder Friis said, “Our platform provides scalable distribution, in a completely safe environment that protects the interest of content owners and advertisers, while delighting viewers.”

New York-based Viacom, which produce the types of programs that are ideal for watching on the Web, did not give financial details about the deal. The agreement is multiyear, said Jeremy Zweig, a spokesman for Viacom.

The Viacom arrangement that marks the first big licensing deal for Joost comes two weeks after Viacom demanded that Google Inc.’s YouTube online video-sharing site remove Comedy Central clips and other content from its TV networks that the company says were posted without its permission.

Programs from Viacom are expected to include premier content from several of MTV Networks brands including Laguna Beach, Beavis & Butthead, Real World, Punk’d and My Super Sweet Sixteen, while Comedy Central will feature episodes from Stella, CCP’s and Freak Show.

Nickelodeon, CMT: Country Music Television, MTV2, Logo, Spike TV, mtvU, and VH1's offerings will include episodes of Flavor of Love, Surreal Life, and I Love New York.

BET’s Networks’ offerings will include some of its mega shows, including Beef, DMX: Soul of a Man, Comic View and recent smash hit American Gangster, while Paramount Pictures, Paramount Vantage and Paramount Classics will be providing full-length feature films from its lineup of classics and recent releases.