Forbidden in YouTube deal

YouTube has signed up the Aim-listed video-editing specialists Forbidden Technologies to help it cover the London Olympics.

YouTube will use the company's FORscene software, which allows video to be edited as it arrives in real time, before preparing it for broadcast in high definition.

NBC – which paid a record $1.18bn (£751m) fee for the US rights to broadcast the London Games – is using FORscene to encode content in the cloud.

Shares in Forbidden leapt 24 per cent to 24.25p on the news.

YouTube now has more than 800 million unique users each month, who watch over three billion hours of videos.

Last year, the online video giant had more than one trillion views or around 140 views for every person on earth.