Why Fox, Paramount, Disney Are Holding Out on the YouTube Deal

A divide has opened among Hollywood’s major studios over whether to join YouTube’s initiative to rent movies on demand – which is holding up the launch of the service. Fox and Paramount have both confirmed that their intention is to “not move forward with any deal at this time” with the largest video site in the world. Disney has not made its intentions clear but is also believed to be holding out on striking a deal with YouTube. Meanwhile, Warner Brothers, Sony and Universal all have just concluded deals to license content to YouTube for rental at launch.