Alphabet Inc (NASDAQ:GOOGL) announced Tuesday that it has acquired FameBit, a marketing platform for branded content. This will help YouTube content creators to avoid using cheap tricks to advertise sponsoring brands in their videos. FameBit will help to transform this shadow economics of the YouTube platform into the mainstream, making it easier for content creators to capitalize on sponsorships.
Of course the real reason for this new approach to sponsored content is that Google will now have the ability to control income sponsored videos and take a share for itself. YouTube’s Ariel Bardin said in a blog, “Creators will always have the choice in how they work with brands, and there are many great companies who provide this service today. This acquisition doesn’t change that. Our hope is that FameBit’s democratized marketplace will allow creators of all sizes to directly connect with brands, as well as provide a great technology solution for companies like MCNs and agencies to find matches for their creators and brand partners.”
Once a content creator reaches a certain number of subscribers they can apply on FameBit to work with various brands. Users then contact the brand and explain why they are good fit. In the future it is possible we will see this entire process becomes nothing more than a series of check boxes inside YouTube.