Google announced that it has not only renewed its contract with Vevo, the music video channel, but has also invested in it. Vevo now operates in close partnership with YouTube.
All videos on Vevo's website, which is only available in a few countries, will be offered on YouTube with far fewer restrictions.
The move by Google comes as VEVO was in talks with Facebook about moving to the larger social network.
Leaving YouTube would have a huge impact on VEVO and its revenue. Facebook may be a big company in general, but it certainly can't compete on any level with YouTube.
Google has confirmed that it has invested in VEVO, but did not disclose the terms. Billboard reports that it is a deal worth €31 million and that Google will take about 7% of the site.
