Blip.tv signed distribution deals with two of the bigger digital video studios: Revision3 and 60 Frames. The deal allows blip.tv to distribute all series produced by the two production companies, including Revision3’s “Diggnation” and 60 Frames’ “GILF.” While CEO Mike Hudack didn’t divulge the economics, he said the producers will sell their own advertising. Generally, Blip.tv gets a 10% fee for ads sold by content partners, as opposed to the 50-50 split for ads sold by blip.tv.
While not a lucrative deal, nor an exclusive one, the deals widen the pipe of content that fits blip.tv’s niche: original, made-for-the-Web shows such as Michael Eisner’s “All For Nots,” CBS’s Wallstrip, Rocketboom or Channel Frederator. WIll the new content help blip.tv make money from its niche of 3 million monthly uniques? Hudack says much will depend on what happens to video ad rates and the cost of bandwidth over the coming months.
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