Vietnam’s leading entertainment group Yeah1 on May 22 announced YouTube’s decision of terminating the two companies’ cooperation.
“Pursuant to the letter of notice YouTube sent on March 1, 2019, Yeah 1 Networks’ Content Hosting Services Agreements (CHSA) contract with YouTube is no longer valid. As a result, we will begin releasing all channels and claims currently associated with Yeah1 and its subsidiaries’ content owners (inclusive of “owned & operated” and “affiliate” channels) on May 22, 2019,” wrote Yeah1 in a note.Additionally, Yeah1’s multi-channel network (MCN) privileges have also been suspended indefinitely. Access to these privileges may be subject to review in the future.Nevertheless, YouTube remains open to discuss future content agreements with Yeah1, but its access to MCN privileges – such as the channel roll-up tool, Content ID, and CMS  – will remain suspended.

Following the announcement, individual O&O and affiliate channels that have been released may reacquire monetization access by applying for YouTube Partnership Program, subject to YouTube’s standard review process.

Yeah1 said the group is committed to working with YouTube and its affiliate channels to ensure a seamless transition, while continues improving its operation, serving as a basis for bilateral cooperation agreements in the future.

For the time ahead, Yeah1 would stay focus on producing, managing and monetizing from content and advertising on digital and traditional platforms.

Early in March, YouTube claimed SPRINGme Pte, a Thailand-based company, which is indirectly owned by Yeah1 with nearly 17%, had violated its policies regarding YouTube AdSense, the program that allows publishers on the video channel to place advertisements by third parties, which in turn generates revenue for the content provider.

Following the incident, YouTube announced that it would terminate all Content Hosting Services Agreements (CHSA) after March 31 with all Yeah1’s subsidiaries or investment companies with business activities related to YouTube Adsense, the termination was later delayed by two weeks until April 16.

The termination would apply to several of Yeah1’s MCN companies it has control over, such as Thailand-based SPRINGme, US-based ScaleLab, and organic Yeah1 Network.

Last year, advertising on YouTube platform contributed 28% of total revenue and 13% of net profit of Yeah1, equivalent to VND23 billion (US$1 million), stated Viet Dragon Securities Companies (VDSC).

Chairman of Yeah1 Nguyen Anh Nhuong Tong said in a statement that the company has prepared for this termination and “re-aligned its resources to focus on its owned and operated content and channel on YouTube.”

After Yeah1’s latest announcement, Yeah1’ shares fell 6.9% in value to VND100,500 (US$4.31) at the close on May 23.