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Warner Bros. Launches Studio 2.0, Disregards Financing Model (for Now)

Warner Bros. is building a new online video portal first and worrying about ad income to pay for it later, reports The New York Times.

Studio 2.0, a home for short-form video and games, does not come with a premiere advertiser to help shoulder development costs. Instead, WB itself built the site and will concentrate on selling ads after the debut.

The shift from standard operating procedure comes as media companies realize they need to commit to projects without waiting for advertisers to get comfortable. Development and production of the shows on the site cost less than an hour of high-quality TV programming.

Warner has lined up RealNetworks, Joost and other distribution partners for a handful of shows making their debut on the site.

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