![]() Robert Kyncl acknowledged that while many of YouTube's prominent personalities had built their followings and created content while operating on a "shoestring budget", he admitted that "in order to scale up, it takes a different kind of enterprise, a different kind of skill set there is story-telling skill set, there is showrunning, etc." YouTube also sought to compete against sites such as Hulu and Netflix by offering original content as part of the subscription service, leveraging prominent YouTube personalities in combination with professional producers. This shift required YouTube to seek permission from its content creators and rights holders to allow their content to be part of the ad-free service under the new contract terms, partners would receive a share of the total revenue from YouTube Red subscriptions, as determined by how much their content is viewed by subscribers. These concerns and others led to a revamping of the Music Key concept to create YouTube Red unlike Music Key, YouTube Red was designed to provide ad-free streaming to all videos, rather than just music content. ĭuring its invite-only beta, Music Key faced mixed reception due to the limited scope of the offering YouTube's chief business officer Robert Kyncl explained that his daughter was confused over why videos of songs from Frozen were not "music" in the scope of the service, and thus not ad-free. Music Key was not YouTube's first foray into premium content, having launched film rentals in 2010, and premium, subscription-based channels in 2013. ![]() Alongside Music Key, Google also introduced tighter integration between Play Music and YouTube's apps, including the sharing of music recommendations, and access to YouTube's music videos from within the Play Music app. The service also included access to Google Play Music All Access, which provides ad-free audio streaming of a library of music. Music Key offered ad-free playback of music videos from participating labels hosted on YouTube, as well as background and offline playback of music videos on mobile devices from within the YouTube app. The service was first unveiled in November 2014 as Music Key, serving as a collaboration between YouTube and Google Play Music, and meant to succeed the former's own subscription service.
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