Net Connections: Media Companies Make Strategic Partnerships with Online Social Networks to Gain Market Reach
Calypso, Anthony S., Black Enterprise
THE VALUE OF INTERNET-BASED SOCIAL NETWORKS appears to be on the rise as media companies recalculate strategies for delivering products to consumers, Recently, Byron Allen's company' Entertainment Studios Inc., formed a partnership with the online social network MySpace to become the single largest provider of video content to the MySpaceTV Web portal.
Entertainment Studios is providing several hours of original video content per week on MySpaceTV Web channels. Users can receive regular updates from the channels and share episodes by using blogs and adding videos to their profiles. Full terms of the partnership were not disclosed.
Such portals claim millions of members--MySpace boasts more than 110 million users--which can provide both Radio One and Entertainment Studios with access to a larger pool of ears and eyes. Another benefit, besides added visibility, is gaining access to registered members and their information.
By all measures, the number of people watching videos on the Internet continues to grow. More than 10 billion videos were viewed online in February, an increase of 66% from the same period last year, according to market research company comScore. …