YouTube co-founder develops possible rival; thinks Denny's is nice place to have breakfast

Adweek reports that YouTube co-founder Chad Hurley is working on some kind of collaborative video startup, possibly to rival YouTube, sort of. He left the company in 2010; since then, the company has changed much under Google's ownership.

"I wish [South by Southwest] was a month later because I could unveil the new product," Hurley said during a Q&A with Digg founder and Google Ventures partner Kevin Rose on Saturday afternoon. Without going into too much detail, he said the product is "primarily video-based…and gives flexibility for people to work together and create content."

Hurley says some of the deal talks happened at a South Bay Denny's, as Yahoo was eyeing involvement.

"We met with Eric [Schmidt] and Sergey [Brin] at Denny's in Redwood City [to talk about the possibility of selling YouTube]. We met there the week before with [Yahoo's] Jerry [Yang] and Terry [Semel]," he said, noting that Semel had suggested the locale because it was "very low-key and had great breakfast."