It looks like Google’s $1.65 billion takeover of YouTube is about to pay some dividends. YouTube is rolling out a new video unit with Google ads embedded into them. Publishers who run the unit will get a share of the income generated.
From the looks of things, publishers will be displaying videos from Google’s choosing – you will not be able to earn money showing your own videos in the player. YouTube is claiming the video content will be targeted to your site because you can choose the categories or have Google choose the video based on your site content.