The subscription-based video on demand market could see a significant shake-up this year as it was reported that YouTube has started to negotiate licensing deals for its own service to compete with services like Netflix and Hulu.

Variety quoted an unnamed YouTube partner as saying that the company not only wanted to discuss a licensing deal, but was extremely aggressive in its approach.

An exec at one YouTube partner says reps from the vidsite reached out late last year about an SVOD licensing deal. But the offer came with a warning: If the partner didn’t agree to the terms of the subscription service, it would be excluded from any future ad revenue — a tactic YouTube has used in dealing with independent music companies that refused to get onboard with Music Key.

This is the same approach YouTube was said to have taken to persuade independent music labels to sign-up for the company’s subscription music service …  expand full story