The ads that YouTube shows in the film come from its normal advertising mix. The world's largest streaming video platform is now offering legitimate versions of almost 100 films to audiences for free - movies like The Terminator, Legally Blonde, the first five Rocky films, and Hackers. "Can we do ad-supported movies, free to the user?"
The library appears to available only in the USA for now, and is different from the YouTube original content films that the streaming website includes with a YouTube Premium subscription, previously named YouTube Red.
It looks as though the available movie selection is only on offer in the United States at the time of writing, though it might expand to other regions given time.
Additionally, YouTube has embarked on longer originals as part of its YouTube Premium offering, which offers an ad-free way to watch, and gains access to exclusive content.
AdAge confirmed that the Google video service quietly started adding free, ad-supported movies in October. Current hits, "A Star is Born", and "Bohemian Rhapsody" are advertised in the movies section as coming soon.
YouTube earns revenue from the movies through advertisements, instead of charging customers to view the movies.
Ad-supported video-on-demand, a growing market, could potentially mean advertisers could sponsor individual films, which could then be provided to the audience for free, Dhawan told AdAge. There is no "Free to Watch" section for TV shows yet.