MySpace, MTV develop piracy profit scheme

MySpace will team up with MTV networks to test an elaborate new scheme that could see the studio earning money from video piracy.

The companies have developed a scheme to automatically display advertisements whenever footage from one of the MTV-owned channels is posted to Myspace.

The advertising will generate revenue for both MTV and MySpace.

According to Reuters, MTV has commissioned Auditude to deliver the technology. Auditude owns the IP for a video-fingerprinting system that can cross-index millions of minutes of TV and online footage in just a few seconds.

The footage will also be branded with an overlay. The companies are experimenting with the overlay, but it will likely include a channel identifier, as well as links to either see a full-length episode or purchase a download. The overlay may also contain separate advertisements.

The Auditude system is already in use by YouTube, which gives content owners the option of removing infringing material or serving an ad.

MTV's stable of channels includes MTV, BET, Comedy Central, Spike TV and Nickelodeon.

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