Break.com, one of the rising number of Web sites offering user-generated videos to rival the likes of YouTube, said on Sunday it would nearly double the amount of money it pays for video clips to $400.
Back in January 2005, Break.com started paying $50 per video and raised the price to $250 before Sunday's new hike, Chief Executive Officer Keith Richman said.
The money is even better for animated videos which, due to the complexity of their production, will fetch up to $2,000.
Web video payouts and increases like those unveiled by Break.com are being closely watched in the fledgling Internet arena where competitors such as Revver, BlipTV or iFilm are trying to improve content to lure viewers and advertisers.
For the most part, user-generated videos are less than 10 minutes long and show real people talking into their own cameras, dancing, singing or doing stunts. Sites like Google Inc.'s YouTube have not paid people who upload clips.