The Guardian Unlimited reports that the BBC is in talks with Google over plans to distribute BBC content over Google Video initially, followed possibly by YouTube, which will be announced on Wednesday by Eric Schmidt. This is in line with many similar deals Google has struck, such as with ITN and Channel 4. However, there are a couple of interesting points raised in this case.

Firstly, it looks as though the type of content being made available may be different from that seen in most of the other deals; large broadcasting companies tend to use Google Video and YouTube primarily to promote their main distribution channel, rather than using it mainly as a way to make money. This has changed to some extent with the advent last year of the US Google Video which allows producers to sell their content, but that is currently not possible in the UK. The Guardian suggests that the BBC is looking into a revenue sharing deal with advertising shown alongside their content; if the BBC were to make full, primetime programmes available on Google’s sites funded purely from advertising that would be unprecedented.

This is important because it gives the BBC a chance to really monetise its content directly. At present some excellent content which would appeal to international audiences (particularly the US market) is simply not available outside the UK, and thus the BBC isn’t making any money on it. This money is important because it supplements the license fee paid by TV watching Brits. This situation would change if the BBC, at the touch of a button could upload its content which hadn’t been bought by a US network to Google Video and YouTube and watch the advertising money roll in from US viewers who would otherwise have been unable to watch.

For little additional expenditure, this deal will allow the BBC to monetise content it owns but has not been able to use to generate money before. This is surely a good thing, particularly given the lower than hoped for license fee increase this week.