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Are You Willing to Pay to Watch Video Clips Online?

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In this photo taken Monday, March 23, 2015, Vessel CEO and co-founder Jason Kilar, left, and co-founder Richard Tom pose for a photo at their headquarters in San Francisco. If you can’t wait to watch some of the Internet’s best video clips, it’s going to cost you. That’s the idea behind Vessel, a new service seeking to transform the way that short video pieces make money on the Internet. Instead of focusing on a free-for-all concept supported solely by advertising, Vessel will charge $3 per month to see music, sports, comedy and other clips that won’t be available on YouTube or any other digital video service for at least 72 hours. The concept makes its debut Tuesday after two months of testing with an undisclosed number of people who received invitations to participate. (AP Photo/Eric Risberg)

In this photo taken Monday, March 23, 2015, Vessel CEO and co-founder Jason Kilar, left, and co-founder Richard Tom pose for a photo at their headquarters in San Francisco. (AP Photo/Eric Risberg)

MICHAEL LIEDTKE, AP Technology Writer

SAN FRANCISCO (AP) — Would you pay to see some of the Internet’s best video clips first? Vessel, a new service trying to change the way that short video pieces make money on the Internet and mobile devices, is betting on it.

Instead of free-for-all distribution supported solely by advertising, Vessel will charge $3 per month for exclusive early access to clips of musicians, sporting events, comedians and many other forms of entertainment not available on YouTube or any other digital video service for at least three days. CEO Jason Kilar, formerly head of Hulu Plus, believes Vessel’s model will be able to pay video producers about $50 per 1,000 views of their clips on the site. That compares with just $2.20 per 1,000 views of ad-supported video at sites such as YouTube, Kilar says.

The extra money, in theory, will provide digital video producers with the means and incentive to create even better content that will prod more people to subscribe to Vessel. The same “virtuous cycle” has enabled Internet video service Netflix to finance more of its own original programming and pay more money to license compelling entertainment while its audience has nearly tripled to 57 million customers from 20 million in the past four years.

“We think this is going to be a really big deal, like the advent of cable-and-satellite television in the 1970s,” Kilar, 43, says of Vessel.

YouTube, which is owned by Google Inc., says Kilar’s estimates are wrong, but declined to reveal its average payout per 1,000 views. Payments to YouTube partners have increased by at least 50 percent in each of the past three years, the company says. Research firm eMarketer Inc. estimated that YouTube’s total ad revenue last totaled $7.6 billion and about $4.6 billion was paid out to YouTube’s partners.

The concept, which has been in beta testing for two months, debuts Tuesday. Anyone who signs up with Vessel by 3 a.m. EDT Friday will receive a one-year subscription for free.

Vessel’s ambitions sound like wishful thinking to Forrester Research analyst Jim Nail, who doubts many people will pay to watch a video that will be available for free within a few days.

“That kind of restriction only works when you have content that people are really knocking down the doors to see,” Nail says. “It is going to totally come down to what kind of content that they can get. Unless they have the content that justifies paying $3 a month, nothing will save them.”

Vessel so far has about 70,000 video clips separated into about 160 categories, including sports, comedy, music, video games and food. Many clips are free and supported by ads, just like most video on YouTube. Vessel’s subscription side features videos from about 130 contributors. They include Emmy Award-winning actor Alec Baldwin, who is showcasing “Love Ride,” a series featuring him dispensing relationship advice in the back seat of taxis, and the online comedy duo of Rhett McLaughlin and Link Neal, who have more than 3 million subscribers on their YouTube channel.

Machinima CEO Chad Gutstein anticipates a large audience will pay for early access to the video gaming specialist’s clips because video game enthusiasts “are more engaged and more obsessed with what they are doing than anything I have ever experienced. They just want to be there first.”

Before Vessel, Kilar spent five years running online television streaming service Hulu, which was launched in 2007 by a group of TV networks trying to counter YouTube’s popularity. By the time Kilar stepped down in 2013, Hulu’s premium Plus service had attracted about 6 million subscribers, though it never mounted much of a challenge to YouTube, where about 300 hours of video is posted per minute.

Since Kilar and another former Hulu executive Rich Tom started Vessel last year, the San Francisco startup has raised $77 million from two venture capital firms, Greylock Partners and Benchmark Capital, and Amazon.com Inc. CEO Jeff Bezos.

Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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Business

Newsom Signs Addictive Social Media Law to Protect Kids

Newsom said California’s approach focuses on the features that can encourage excessive social media use rather than taking the broader step of banning teenagers from the platforms altogether. He contrasted the measure with restrictions adopted in Australia and Malaysia that prevent teenagers from accessing social media or creating accounts.

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Gov. Gavin Newsom has signed a new California law targeting addictive social media features that can keep children scrolling, giving the state new authority to restrict how platforms engage young users.

AB 1709, authored by Assemblymember Josh Lowenthal (D-Long Beach) prohibits social media companies from giving children under 16 access to personalized feeds, including “For You” pages, as well as other features designed to maximize screen time, such as infinite scrolling and video autoplay.

The law does not prevent children under 16 from using social media. Instead, platforms must deactivate the covered features for those users.

“This is about actually addressing the problem, the scrolling, the algorithms,” Newsom said Sept. 10 during a bill-signing event in the San Francisco Bay Area.

Newsom said California’s approach focuses on the features that can encourage excessive social media use rather than taking the broader step of banning teenagers from the platforms altogether. He contrasted the measure with restrictions adopted in Australia and Malaysia that prevent teenagers from accessing social media or creating accounts. 

The law comes amid growing concerns about the impact of social media on children’s mental health and well-being. California lawmakers have increasingly focused on the design and business practices of technology platforms as part of efforts to protect young users.

AB 1709 is one of 13 youth online safety and privacy laws Newsom signed Sept.10. The package also includes measures regulating AI chatbots, increasing potential penalties for technology companies and establishing additional protections for children using digital services.

Lowenthal said the new rules represent a shift toward greater accountability for technology companies.

“We want oversight. We want accountability. We’re done asking nicely, and we’re demanding that there is a duty of care across these platforms — a duty that puts the wellness of our children ahead of profits,” Lowenthal said.

The law builds on California’s broader effort to regulate children’s online experiences. A separate law, AB 1043, will require users to provide their birth dates when setting up new phones or laptops beginning in January, with device manufacturers required to share users’ ages with apps.

Some youth online safety advocates have supported AB 1709 as a more targeted alternative to outright social media bans. Others have warned that the restrictions could make it harder for some LGBTQ+ young people to find support online and questioned how effectively age requirements can be enforced.

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Commentary

OPINION: The New American Fear – From 9-11 to AI

The terrorists didn’t invent American racism, xenophobia or political paranoia. We shouldn’t give 19 hijackers that much credit. But after 9/11, America built an enormous security structure around fear. Surveillance expanded. Wars followed. Congress created the Department of Homeland Security. TSA transformed airports. Immigration enforcement was reorganized and ICE was created.

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I was quiet about 9/11 until this week, when terrorism got an upgrade.

Artificial intelligence.

I have taken 9/11 seriously every year. Twenty-five years later, I was all “feeled out.”

I’ve gone to Ground Zero. I’ve written about the dead, the survivors, the first responders and those who survived that day only to become sick years later.

But this isn’t another column about where we were.

It’s about what America became.

For me, September 11, 2001, marks the beginning of a New America. Not the diverse, multicultural America I hoped was emerging.

This is the America that fear built.

I was 3,000 miles away in the Bay Area watching CNBC.

Then the planes hit.

The markets shut down.

And something else opened.

Fear.

At first, fear brought us together. We had a common enemy and, briefly, rediscovered a common good.

But fear is a terrible foundation for democracy.

The person we feared was initially the terrorist.

Then the Muslim.

Then the Arab.

Then the Sikh mistaken for an Arab.

Then the immigrant. The undocumented. The person at the border.

The category continues to expand.

Maybe that’s the real 25-year story of 9/11.

We went from finding common ground to looking for flaws that prove somebody doesn’t belong.

The terrorists didn’t invent American racism, xenophobia or political paranoia. We shouldn’t give 19 hijackers that much credit.

But after 9/11, America built an enormous security structure around fear.

Surveillance expanded. Wars followed. Congress created the Department of Homeland Security. TSA transformed airports. Immigration enforcement was reorganized and ICE was created.

Temporary emergency became permanent infrastructure.

Recently, Anthropic researcher Jacob Coxon quit his job and warned that people building advanced AI genuinely believe it could kill humanity by the end of this decade.

He walked away two months before his Anthropic equity vested.

That’s credibility.

President Trump has taken a different view. On Sept. 14 he called fears of AI destroying humanity a “HOAX” and declared, “WHOEVER WINS AI, WINS!” He said the only guardrail AI needs is a “STRONG AND SMART (High IQ!) PRESIDENT.”

We have built the threat.

We finance it. We feed it our words, photographs, voices, art and knowledge. We invite it into our homes and carry it in our pockets.

Americans are confronting something genuinely frightening.

AI could eliminate or transform jobs. And its increasingly powerful systems raise questions even some of their creators say they cannot fully answer.

So, the question what do we do with fear without surrendering our common humanity.

That requires real leadership and oversight from Congress, if not the president.

Trump insists Iran can’t have a nuclear weapon. But on AI, his emphasis is winning the race, especially against China.

That’s the trap.

Fear of China becomes the argument for going full speed ahead.

Twenty-five years after 9/11, we have another chance to get fear right.

Be smart enough to know what to be afraid of.

And make sure we stay in control of the tech.

We’ve got to be smarter than the machines.

About the Author

Emil Amok Guillermo is an award-winning journalist, commentator and comic monologist. He hosts a micro-talk show on YouTube. See him at Comedy Day at Robin Williams Meadow in San Francisco’s Golden Gate Park, on Sept. 20, around 2:45 p.m. Free.

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Business

Oakland Launches Aerbits Program to Identify, Report Abandoned Trash

“Aerbits, which was approved by the Privacy Advisory Commission, uses modern technology and best practices to help our crews clear trash faster and more efficiently, while our targeted outreach and enforcement strategies address the root causes of dumping. Together, we are going to get the job done.”

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Aerbits founder Brian Johnson(left) and OaklandMayor Barbara Lee launch Aerbits in Oakland.

On Tuesday, the City of Oakland launched Aerbits, an innovative new program that deploys AI-assisted aerial imaging technology to proactively detect and report abandoned trash on streets and sidewalks – to support timely and effective removal of illegal dumping.

By shifting from a reactive, complaint-based system to data-driven proactive detection, the City can deploy cleanup resources faster, more efficiently, and more equitably to the areas in greatest need. 

Approved by both the Privacy Advisory Commission and the Oakland City Council, Aerbits is the latest addition to Oakland’s comprehensive strategy to eliminate illegal dumping from the Town.

“Oakland residents and businesses deserve clean streets and today we are one step closer to a safer, cleaner, and greener Oakland,” said Mayor Barbara Lee. “Our strategy strengthens eradication, education, and enforcement efforts across every neighborhood.

“Aerbits, which was approved by the Privacy Advisory Commission, uses modern technology and best practices to help our crews clear trash faster and more efficiently, while our targeted outreach and enforcement strategies address the root causes of dumping. Together, we are going to get the job done.”

The impacts of illegal dumping on Oakland are profound, disproportionately burdening historically disinvested communities while threatening public health, safety, and economic vitality.

The City is united in taking action to remedy it – with the mayor, Council, administration, Public Works Department, community groups and more coming together to make change.

In May, the City Council approved the Illegal Dumping Expenditures Action Plan, which approves and funds multiple actions – including Aerbits – to help remedy illegal dumping.

This past June, Oakland secured $9.2 million from the Crankstart Foundation to scale up operations like Aerbits and break the cycle of illegal dumping across Oakland.

The Aerbits aerial imaging system photographs public rights-of-way to pinpoint exact locations, estimate waste volumes, and classify types of debris. This enables City dispatchers to understand the problem and efficiently deploy the appropriate crew and equipment to each site.

Built with privacy at its core, the technology contains no facial recognition, no license plate readers, and uses no personally identifying information. Aerbits takes pictures of trash – not of people.

“I founded Aerbits because I saw a major gap in the data that was available to City crews on the streets, and I wanted our children to have a cleaner environment” said Aerbits Founder Brian Johnson.

“Aerbits enables cleanups to be timelier, more effective, and more equitable. By providing real-time comprehensive data, automating the creation of work orders, and improving closure of cleared tickets, we are removing the problems that occur when relying primarily on a complaint-based system,” he said.

Aerbits is the latest milestone in the series of actions the City is taking to implement the City Council-approved Illegal Dumping Expenditures Action Plan. Recent actions taken by the City include:

  • Stricter Enforcement: Enacted a new Illegal Dumping Enforcement Ordinance increasing penalties and holding vehicle owners responsible; hired additional Environmental Enforcement Officers equipped with updated citation technology; and worked alongside State Senator Jesse Arreguin on legislation that allows the City to boot vehicles tied to repeat dumping offences. 
  • Community Resources: Reinstated the popular “Bulky Block Parties” offering residents free, convenient ways to get rid of bulky waste, alongside expanded public education campaigns.  
  • Expanded Fleet Equipment: Obtained new heavy-duty Lightning Loader trucks that allow us to clean up more volumes of debris faster than ever before. 

Rebecca Kaplan is a former City Councilmember-at-large for the City of Oakland.

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