The deal is the first of its kind, and has been kept tightly under wraps in a time where internet leaks are the norm.
Channel 4's video on demand catch up service 4oD will still continue to run, but the programmes will also be made available on YouTube not long after they've finished on the box.
We can expect to see content from programmes such as Skins, Hollyoaks and The Inbetweeners over the next few months, with full content - expected to be around 3,000 hours of full-length programming - becoming available in 2010.
As with the 4oD service, the programmes will be free to watch and supported by advertising but even better, they won't be affected by YouTube's 10 minute rule and will run for the length of the programme.
The partnership is expected to run for at least three years, and although financial details are not being disclosed, it's understood Channel 4 will have control over the advertising around its content, as well as some non-Channel 4 content as well.
The move is certainly an interesting one – will we see other broadcasters follow suit in the future?
Let us know what you think below and be sure to check out our guide to all the on-demand services.