Googleyt
Google will be syndicating YouTube content via its AdSense network.   The service lets any publisher that is part of Google's AdSense network
show video from premium YouTube content creators on its site. Google's
system will automatically match video content to the participating
websites; it will match the ads contextually as well. All three parties
-- the video-content creator, the AdSense publishers and Google -- will
share in the revenue.

What does that mean to the people creating ad units?  YouTube's ad format involves more graphical overlays that can expand to
video when clicked, which is a much better way of serving up video ads online than pre-roll. 

Google will also use the dynamic optimization technology it originally
developed for advertising to continually "learn" which syndication
pairings work best.

As new content racks up views, Google will track
how much users seem to like it and how much of each video people watch.

I think the power of this thing is that you will be able to embed a standard YouTube player on the site, and Google will figure out which videos to show.  When I sit down and dissect how thing could work... it raises many questions for me.

Outstanding questions:

  1. How might this program affect the copyrights lawsuit with Viacom?  Google ran its first test with Viacom in summer 2006 (that was before
    Viacom decided to sue Google, alleging that YouTube violated its
    copyrights
    ).
  2. Which
    publishers will begin participating?

    • The announced publishers
      are TV Guide Broadband, Mondo Media, lonelygirl15,
      Extreme Elements, and Ford Models.
  3. If the program is open to "everyone",
    will people choose to see the oodles of bad long tail videos?
  4. Will ad sense be the new way we rate best performing videos?  Or will the
    best performing videos be shown the most
    frequently?
ON: GooTube Gone TV via @jpenabickley