Facebook Just Launched Something to Rival YouTube

Social media giant Facebook just launched its video service called Watch to users in the United States this week.
The service is Facebook’s way of rivaling Alphabet Inc’s YouTube service for advertising revenue.

The service allows people to submit shows and allows them to see hundreds of shows from networks like Walt Disney Co’s ABC, A&E Networks, and Buzzfeed. Users can also watch sports such as Major League Baseball.

Sources told Reuters back in May that Facebook would initially pay for some shows. The company, according to these sources, is paying $250,000 for longer shows and $10,000 to $35,000 for shorter form shows.

Facebook vice president of partnerships Dan Rose, told Reuters, “We are not focused on acquiring exclusive rights,” he said. “The idea is to seed this with good content.”

According to Rose, “Facebook plans to eventually open the platform to everyone to submit shows for approval and share 55 percent of ad revenue.”

What stands out about Watch is that users can talk with friends as they watch video.

“We think our unique opportunity is around community and engaging with people on topics they love to talk about,” said Rose.

Disclaimer: We have no position in Facebook, Inc. Common Stock (NASDAQ: FB) and have not been compensated for this article.