Yahoo will get exclusive rights to distribute JibJab's next two animated videos, one having a holiday theme and the other being a political spoof, Yahoo said Thursday.
The agreement signals Yahoo's heightened focus on becoming a source for online-entertainment programming. The idea is to use HBO's strategy as a model, so that Yahoo licenses programming from outside companies and distributes the content exclusively on its Web site. The company last monthto run its entertainment division.
The strategy is not surprising, given Yahoo CEO Terry Semel's background leading Warner Bros.'s movie studio. Soon after taking the helm, Semel tapped former Warner Bros. executive Jim Moloshok to strike deals with Hollywood, such as Yahoo's agreement toof the hit reality show "The Apprentice."
JibJab's founders, Gregg and Evan Spiridellis, said in an interview with CNBC Thursday morning that consumers could view the movies at the JibJab site or go to Yahoo to watch them.
Viewers will not be charged, but the Spiridellis brothers hope to make some money through additional ad revenue. Financial terms of the deal with Yahoo were not released.
JibJabwith its first Flash animation, set to the tune of "This Land is Your Land," which prompted a with the estate of Woodie Guthrie.