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Warner Music Videos Streamed From Google For Free

Google and Warner Music Group Announce Agreement to Offer Google Video Users WMG’s Music Video Content

Ad-supported video model provides Warner Music Group with content monetization opportunities and unmatched distribution in the online world

Google developing technology to enable user-generated content

Warner Music Group Corp. (NYSE: WMG) and Google (NASDAQ: GOOG) today announced a strategic business relationship designed to give Google users the ability to stream on-demand WMG’s extensive music video collection for free, through an ad-supported revenue sharing agreement, or to purchase videos online for download. Starting this month, users in the U.S. can watch any of the thousands of music videos, artist interviews, “behind-the-scenes” footage and other artist-related content from WMG on Google Video. In the coming months, users can also access audio-visual content from WMG through Google’s partner websites in its AdSense network. In addition, Google will develop technology that, when implemented, will enable users to include certain content from companies such as Warner Music Group in the videos they create and upload to Google Video.

“Our partnership with Google is rooted in the pioneering approach we’ve used to offer fans more music, while benefiting artists and protecting copyrights,” said Alex Zubillaga, Warner Music Group’s Executive Vice President, Digital Strategy and Business Development. “Viewing the online world as a significant opportunity, we are transforming Warner Music from a traditional ‘songs-and-records’ company into one that delivers rich music-based content on multiple platforms, in a variety of ways. We are proud to partner with an online innovator like Google to further our efforts in this space and we are gratified to see that other major music and technology companies are beginning to embrace these new models as well.”

“In support of our mission to organize the world’s information and make it universally accessible and useful, we’re excited to organize and make available to Google Video users the music video library of Warner Music Group,” said David Eun, Google’s vice president of content partnerships. “This agreement also allows us to realize a threefold goal of meeting online user demand, providing advertisers with a new way to communicate with their customers, and giving content holders a way to monetize their content; we achieve this by combining Google’s network of hundreds of thousands of advertisers, unparalleled distribution via our publisher network and high quality content like Warner Music Group’s music-video library. At the same time, this agreement is a highly visible platform to highlight our continued commitment to protecting copyrights.”

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Monetizing through Ad-Supported Content
WMG will be able to monetize its music video content online by leveraging Google’s extensive advertiser network of hundreds of thousands of advertisers. WMG’s music video catalog will be sponsored by Google advertisers, making it free to all users. The resulting generated advertising revenue will be shared by WMG and Google. Besides providing ad-supported content on Google Video, select WMG’s music videos will immediately be available for purchase as downloads on Google Video for $1.99.

Unmatched Distribution through AdSense Partner Sites
In the coming months, WMG will also work with Google to distribute its substantial video collection to websites around the world via Google’s extensive AdSense publisher network, making it even easier for users to access free premium content while surfing the Web. Web publishers will be able to easily display videos that match the tone of their sites adding value to their online content and creating a new way to earn revenue from their sites. For example, a fan site devoted to a particular WMG artist can run ad-supported music videos from that artist. Each time a user is interested in the accompanying ad and clicks on the link, the Web publisher, WMG and Google will share in the resulting revenue.

Facilitating User-Generated Content
WMG and Google are working together to allow users access to music from WMG’s recorded music library for use in their creative user-generated productions. Once Google’s technology is implemented, content companies such as Warner Music Group will have the opportunity to monetize the use of music in user-generated content, or if they choose, have the content removed from the platform.

About Warner Music Group
Warner Music Group (NYSE: WMG) became the only stand-alone music company to be publicly traded in the United States in May 2005. With its broad roster of new stars and legendary artists, Warner Music Group is home to a collection of the best-known record labels in the music industry including Atlantic, Bad Boy, Elektra, Lava, Maverick, Nonesuch, Reprise, Rhino, Rykodisc, Sire, Warner Bros. and Word. Warner Music International, a leading company in national and international repertoire operates through numerous international affiliates and licensees in more than 50 countries. Warner Music Group also includes Warner/Chappell Music, one of the world’s leading music publishers. For more information, visit www.wmg.com.

About Google Inc.
Google’s innovative search technologies connect millions of people around the world with information every day. Founded in 1998 by Stanford Ph.D. students Larry Page and Sergey Brin, Google today is a top web property in all major global markets. Google’s targeted advertising program provides businesses of all sizes with measurable results, while enhancing the overall web experience for users. Google is headquartered in Silicon Valley with offices throughout the Americas, Europe, and Asia. For more information, visit www.google.com.

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