YouTube Moves Into Netflix's Neighborhood

Google-owned video site begins to stream movie rentals

Netflix is sailing high right now, so news that YouTube has relaunched its underwhelming streaming movie rental service again should not phase them.

In February, YouTube launched a pilot program offering five streaming independent movies from the Sundance Film Festival for $3.99. Critics were quick to label the program a dud but YouTube countered, saying it was quite happy with only 2,684 views netting $10,709.16.

YouTube has since expanded its library with more "independent, anime, Bollywood, and documentary films" and relaunched its service Thursday. Rentals cost between $0.99 – $3.99.

Google's stepchild may have a hard time turning its second run at streaming movies more successful than the first. The San Bruno-based company is quietly entering into an already saturated market dominated by iTunes and Netflix.

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