Google’s YouTube has denied a report in the New York Post that it is set to launch a premium movie service in Europe. The report claimed that YouTube was looking to launch such as service, first in the UK and then in the US.
The new service would compete with Lovefilm in the UK, an online VOD company that was recently acquired by Amazon.com.
In the US, YouTube does have a movie rental service in cooperation with the Sundance Film festival; the video site also launched a limited movie rental service in April, 2010 with the possibility to rent movies for a 48 hour period for a fee between $0.99 and $2.99. However, there are as yet no contract with major US studios for rental of Hollywood blockbusters.