Vessel's Universal Music deal primes YouTube challenge

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Lady Gaga is one of Universal Music's many artists.
Lady Gaga is one of Universal Music's many artists.

he agreement will see some of the music label's videos aired on Vessel before they're made available elsewhere

Video startup Vessel is to go head to head with YouTube after the service signed a deal to show some Universal Music Group videos before anyone else.

The agreement will see some of the music label’s videos aired on Vessel before they’re made available to other free, ad-supported sites. Details of the videos to be featured on Vessel’s site will be released in the coming weeks.

Vessel users have to pay for the privilege of seeing exclusive content, with subscribers shelling out $2.99 a month to receive exclusive access for a period of 72 hours.

During the early-access period, videos on the video service can make 20-times more per-view compared with free, ad-supported online video services, said Vessel.

Lucian Grainge, chairman and chief executive officer of Universal Music Group, said: "Vessel represents the latest business model innovation for premium short-form content and we're pleased to extend our industry-leading track record of empowering entrepreneurs who are growing the playing field for new content services."

This article first appeared on marketingmagazine.co.uk.

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