It looks like that Google TV reorg that moved Google’s TV software project under YouTube’s purview isn’t actually that big of a deal.
It was (quietly) conducted weeks ago, before Google TV launched, and before any of Google’s issues with the TV networks. (Some of the big networks are blocking Google TV web browsers from playing their content.)
Our understanding is that Google hasn’t cut any of its investment in Google TV, and has by no means given up on the project already. And that the Google TV team is still working just as closely with the Android folks, etc.
Google sent us this statement: “Google TV has been closely aligned with YouTube for years. Although we did reorganize a division within YouTube a month ago, that was based on streamlining our operations so we could make faster decisions and align team goals with the company’s overall business objectives. Just like any rapidly growing organisation, it is important for YouTube to evolve and grow to ensure further success in the future. The recently created YouTube Content organisation is run by VP of Content Partnerships, Dean Gilbert.”