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YouTube is testing a free, ad-supported TV channel 

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YouTube is testing a free, ad-supported TV channel

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  • YouTube is experimenting with ad-supported TV channels that showcase content from certain media companies.
  • The company is testing the concept with Lionsgate and A&E.
  • YouTube has previously provided premium ad-supported content.
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YouTube is experimenting with free, ad-supported TV channels that showcase content from certain media companies according to The Wall Street Journal.

The concept is comparable to Pluto TV, Roku’s Live TV channels, or the experiences integrated into TVs from Samsung, LG, and Vizio – with a “hub” that lets users choose what to watch.

Other companies in this industry have found this notion to be profitable, as earnings reports from Vizio and Roku show that they produce more profit from advertising and subscription commissions than from selling hardware. According to recent reports, Vizio makes an average of $27 per user per year, whereas Roku earns more than $44 per year.

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According to The Wall Street Journal, an unnamed YouTube representative confirmed the tests, and the functionality could become more publicly available later this year.

YouTube is apparently collaborating with companies such as Lionsgate and A&E, the latter of which owns channels such as History, FYI, and Lifetime.

YouTube has previously provided premium ad-supported content. It added free television shows funded by advertisements to its collection in 2022, and it had already been doing so with movies for several years.

The company also launched free channels on its Google TV live page via Pluto TV the prior year.

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YouTube TV is a subscription service that provides viewers with a comparable drop-in-and-watch experience to regular television channels. YouTube TV has approximately 5 million subscribers as of last summer.

It’s probable that the free channels will be promoted as YouTube TV. These tests come as other streaming providers, such as Netflix, HBO Max, Disney Plus, and Peacock, introduce lower-cost or free ad-supported tiers.

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