Two rival internet companies recently collaborated for a great new project. AOL, Inc. (NYSE:AOL) and Microsoft Corporation (NASDAQ:MSFT) agreed on a deal that would allow Microsoft to distribute AOL videos on some of the site’s properties.
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Microsoft and AOL made lucrative deal
This new deal will enable Microsoft Corporation (NASDAQ:MSFT) to access all of AOL, Inc. (NYSE:AOL)’s video collection. This includes video clips from HuffPost Live, TMZ, ESPN, and TechCrunch. Microsoft will run these videos on the MSN website and Bing apps running on Windows-based phones. The company will also sell most of advertisements for the videos and split ad revenue with AOL.
This isn’t the first time AOL made a deal for the video distribution. The internet giant scored a deal with YouTube over a year ago. This deal allowed AOL, Inc. (NYSE:AOL) to distribute videos through 22 channels including Moviefone, TechCrunch, and HuffPost Live. YouTube offered internet real estate and revenue sharing. This allowed YouTube to access AOL videos and sells YouTube’s inventory.
AOL believes new deal is promising
Some AOL, Inc. (NYSE:AOL) offici