Now on YouTube, Local News

With its ability to collect articles and sell advertisements against them, Google has already become a huge force in the news business — and the scourge of many newspapers. Now its subsidiary YouTube wants to do the same thing to local television.

YouTube, which already boasts of being “the biggest news platform in the world,” has created a News Near You feature that senses a user’s location and serves up a list of relevant videos. In time, it could essentially engineer a local newscast on the fly. It is already distributing hometown video from dozens of sources, and it wants to add thousands more.

YouTube says it is helping TV stations and its other partners by creating a new — but so far not fiscally significant — source of revenue.

But news media companies may have reasons to be wary. Few TV stations have figured out how replicate profits on the Internet. YouTube can easily act as another competitor.

So for now, most of the YouTube videos near you come from nontraditional sources: radio stations, newspapers, colleges and, in the case of a fledgling San Francisco outfit called VidSF, three friends who despise the local TV diet of fires and homicides.

“It really levels the playing field,” said Kieran Farr, a founder of VidSF who covers the city’s culture and uploads his segments to YouTube.

News Near You, started in the spring, is only part of YouTube’s push into news video. This summer, the company invited the more than 25,000 news sources listed on Google News to become video suppliers. The site is also promoting videos from ABC News, The Associated Press, Reuters and other outlets.

This year, it began featuring breaking news videos — including ones submitted by citizens in Iran, where protests are being captured by cellphone users — on its home page.

So far, the localized videos are no replacement for a print or TV diet of news. On Sunday, visitors near Baltimore saw a news report about a teen assistance program; in Chicago they saw a WGN-TV feature about street performers; and in Los Angeles, they saw a review of an electric motorcycle produced by The Los Angeles Times. Producers often count the views in hundreds, not thousands.

To date, nearly 200 news outlets have signed up with YouTube to post news packages and split the revenue from the advertisements that appear with them. In addition, Google searches now show YouTube videos alongside news articles, helping the videos reach a wider audience.

YouTube’s sheer breadth — it is visited by 100 million Americans each month — makes it a powerful force for promotion, as well as a potential threat to entrenched media companies. And those companies already have more than enough to worry about: much of the local media marketplace has collapsed in recent years as classified ads have moved online, automakers have curtailed ad spending and news and entertainment options have proliferated.

YouTube, meanwhile, is still trying to turn a profit nearly three years after it was acquired by Google. Because copyright concerns prevent it from placing ads on amateur videos, it has striven to sign up professional partners to seed the site with ad-friendly content. News is one obvious option.

“Google can only gain by splitting revenue with people who have feet on the street in local markets,” said Terry Heaton, a senior vice president at AR&D, a company that advises locally focused media organizations.

Google said in June that it was pleased with YouTube’s trajectory and indicated that it expected the site to be profitable in the not-too-distant future, but did not specify when....