Advertising revenue will be split between the website and the content provider, at a cost of $20 per 1,000 views.

The Times Online reports that the service, initially only available in the US, will be extended to Britain soon.

YouTube's content 'partners' will be the first to take adverts. Most partners are large commercial operations such as the BBC, but some are ordinary people who have become popular providers of content.

Efforts are being made to ensure that well-known brands do not appear in association with inappropriate content.