YouTube Upgrade Services To Stream Movies- Should Apple Be Worried?

As if YouTube was not big enough, just days after breaking their live streaming record from the Royal Wedding they are set to get even bigger. The world’s largest video sharing site is set to introduce movie streaming after striking deals with major Hollywood studios like Warner Brothers, Universal and Sony. So should Apple be afraid of another massive rival coming into the picture?

YouTube’s on demand movie service will be a huge competitor to iTunes’ similar offering, with an official announcement being made very soon. The Daily Mail has reported that YouTube could start streaming movies as soon as this week, as they have obtained the appropriate licences in order to do so.

The film offering will be a paid service which will give YouTube a new revenue stream, adding to their current method from advertising. No news yet on the price of a rental, but we assume they will be fairly competitive and charged according to the release date and video quality. Some of the big studios who have not signed yet are Fox, Paramount and Disney. Would Steve Job’s interest in Disney prove a reason for them not to offer to Google’s video sharing site?

I believe YouTube will have an edge over iTunes in terms of convenience as you just visit the site rather than have to install anything. Anyone who does not own an Apple device will probably be more likely to swing in YouTube’s direction for an instant movie rental, would you agree? Leave us your thoughts on YouTube’s new movie offering by leaving a comment.