According to The Wall Street Journal, You Tube and Universal Music are currently negotiating a partnership. The new venture will possible be called, "Vevo."
The objective of the new arrangement is to have Universal Music provide the video content, while You Tube acts as the distributor and advertising-sales support system.
You Tube's existing licensing agreement with major record labels, reportedly calls for You Tube sharing a portion of the advertising revenue that they receive from ads that appear next to certain music videos.
While both You Tube and Universal are keeping the details of the negotiation very hush, the new arrangement is likely to have similarities to the old standard deal- except more money is likely to be involved.