YouTube and Universal Music Group are contemplating an alliance by which the former would build a music video hub for the latter.

According to The Wall Street Journal, YouTube will also provide ad sales support and a platform to distribute Universal video content to other sites.

The pending project's been tentatively dubbed "Vevo" and has been underway since last year. People familiar with the matter claim it is in advanced stages of production.

Financial details of the potential liaison were not revealed, but the partnership represents another attempt by YouTube to step up its premium content offerings.

It would also avail YouTube a fresh opportunity to monetize music videos. In January it broadened an existing ecommerce effort that enables users to buy tracks featured in a video they're watching. They typically have the option to purchase direct from a record company, from Amazon or iTunes.

Last month YouTube formed a strategic partnership with talent agency William Morris; a week and a half later, it unveiled a charge-to-download program pilot.