News Corp. and NBC Universal are spearheading a group of media companies to build their own Youtube.

The new video download site would launch this summer and offer will features full episodes and clips from shows such as Heroes, The Simpsons, 24 and My Name Is Earl. It will also feature movies, including Borat. All this is supposed to be free and paid for by advertising.

The media companies partnered with AOL, Yahoo! Inc. and Microsoft Corp. to compete with Google's Youtube.
News Corp. and NBC Universal should just partner (buy) with Joost. This would bring us a new cool online video experience with great content. Free cool content alone is nice too, but not totally mind-blowing.

News Corp. owns MySpace which already reaches a big junk of the internet audience. Distributing also on Yahoo! and AOL will get the new video online service off the ground very quickly.
More details on Bloomberg and on the WSJ (Subscription).