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| Viacom will sue YouTube for $1bn | Viacom will sue YouTube for $1bn |
| (22 minutes later) | |
| Entertainment giant Viacom Media says it will sue web search engine Google and its video-sharing website YouTube for $1bn (£517m). | Entertainment giant Viacom Media says it will sue web search engine Google and its video-sharing website YouTube for $1bn (£517m). |
| Viacom, which owns MTV and Nickelodeon, says YouTube uses its shows illegally. | Viacom, which owns MTV and Nickelodeon, says YouTube uses its shows illegally. |
| Viacom alleges that about 160,000 unauthorised clips of its programmes have been loaded onto YouTube's site and viewed more than 1.5 billion times. | Viacom alleges that about 160,000 unauthorised clips of its programmes have been loaded onto YouTube's site and viewed more than 1.5 billion times. |
| Google says it is "confident" that YouTube has respected the legal rights of copyright holders. | Google says it is "confident" that YouTube has respected the legal rights of copyright holders. |
| As well as more than $1bn in damages, the legal action seeks an injunction to prevent what Viacom calls "massive intentional copyright infringement". | As well as more than $1bn in damages, the legal action seeks an injunction to prevent what Viacom calls "massive intentional copyright infringement". |
| 'Clearly illegal' | 'Clearly illegal' |
| "YouTube's strategy has been to avoid taking proactive steps to curtail the infringement on its site," said Viacom in a statement. | "YouTube's strategy has been to avoid taking proactive steps to curtail the infringement on its site," said Viacom in a statement. |
| There is no question that YouTube and Google are continuing to take the fruit of our efforts without permission Viacom href="/1/hi/business/6038116.stm">Google's copyright nightmare | |
| "Their business model, which is based on building traffic and selling advertising off of unlicensed content, is clearly illegal and is in obvious conflict with copyright laws." | "Their business model, which is based on building traffic and selling advertising off of unlicensed content, is clearly illegal and is in obvious conflict with copyright laws." |
| Last month, Viacom, which also owns cable networks VH1 and Comedy Central, told YouTube to remove 100,000 "unauthorised" clips. | Last month, Viacom, which also owns cable networks VH1 and Comedy Central, told YouTube to remove 100,000 "unauthorised" clips. |
| Viacom said its demand came after YouTube and Google failed to install tools to "filter" the unauthorised video clips following negotiations. | Viacom said its demand came after YouTube and Google failed to install tools to "filter" the unauthorised video clips following negotiations. |
| "There is no question that YouTube and Google are continuing to take the fruit of our efforts without permission and destroying enormous value in the process," it said. | "There is no question that YouTube and Google are continuing to take the fruit of our efforts without permission and destroying enormous value in the process," it said. |
| We will certainly not let this suit become a distraction Google Check Google's share price Check Viacom's share price | |
| "This is value that rightfully belongs to the writers, directors and talent who create it and companies like Viacom that have invested to make possible this innovation and creativity." | "This is value that rightfully belongs to the writers, directors and talent who create it and companies like Viacom that have invested to make possible this innovation and creativity." |
| Doing deals | Doing deals |
| A Google spokesperson said: "We have not received the lawsuit but are confident that YouTube has respected the legal rights of copyright holders and believe the courts will agree. | A Google spokesperson said: "We have not received the lawsuit but are confident that YouTube has respected the legal rights of copyright holders and believe the courts will agree. |
| "YouTube is great for users and offers real opportunities to rights holders: the opportunity to interact with users; to promote their content to a young and growing audience; and to tap into the online advertising market. | "YouTube is great for users and offers real opportunities to rights holders: the opportunity to interact with users; to promote their content to a young and growing audience; and to tap into the online advertising market. |
| "We will certainly not let this suit become a distraction to the continuing growth and strong performance of YouTube and its ability to attract more users, more traffic and build a stronger community." | "We will certainly not let this suit become a distraction to the continuing growth and strong performance of YouTube and its ability to attract more users, more traffic and build a stronger community." |
| The soaring popularity of YouTube has led traditional media to worry that the displaying of clips from their programmes - without compensation - will lure away viewers, and, as a result, advertising revenue. | The soaring popularity of YouTube has led traditional media to worry that the displaying of clips from their programmes - without compensation - will lure away viewers, and, as a result, advertising revenue. |
| Google, which paid $1.65bn for YouTube last year, has been trying to win permission from media companies to broadcast output legally on YouTube in exchange for payment, avoiding the threat of legal action. | Google, which paid $1.65bn for YouTube last year, has been trying to win permission from media companies to broadcast output legally on YouTube in exchange for payment, avoiding the threat of legal action. |
| Separately, the BBC has struck a content deal with YouTube to showcase short clips of BBC content. | Separately, the BBC has struck a content deal with YouTube to showcase short clips of BBC content. |
| The BBC hopes that the deal will help it reach YouTube's monthly audience of more than 70 million users and drive extra traffic to its own website. | The BBC hopes that the deal will help it reach YouTube's monthly audience of more than 70 million users and drive extra traffic to its own website. |
| The corporation will also get a share of the advertising revenue generated by traffic to the new YouTube channels. | The corporation will also get a share of the advertising revenue generated by traffic to the new YouTube channels. |