In May 2014, before Music Key service was launched, the independent music trade organization Worldwide Independent Network alleged that YouTube was using non-negotiable contracts with independent labels that were "undervalued" in comparison to other streaming services, and that YouTube would block all music content from labels who do not reach a deal to be included on the paid service. In a statement to the Financial Times in June 2014, Robert Kyncl confirmed that YouTube would block the content of labels who do not negotiate deals to be included in the paid service "to ensure that all content on the platform is governed by its new contractual terms." Stating that 90% of labels had reached deals, he went on to say that "while we wish that we had [a] 100% success rate, we understand that is not likely an achievable goal and therefore it is our responsibility to our users and the industry to launch the enhanced music experience."[215][216][217][218] The Financial Times later reported that YouTube had reached an aggregate deal with Merlin Network—a trade group representing over 20,000 independent labels, for their inclusion in the service. However, YouTube itself has not confirmed the deal.[209]
The 1990s and 2000s saw the growth of cable TV channels targeted at children. With the rise of ubiquitous merchandising deals and niche content, powerful American media companies such as Disney, Turner, and Viacom figured out how to make money off young kids. They created, respectively, the Disney Channel, the Cartoon Network, and, of course, Nickelodeon, which was the most watched cable channel during traditional television’s peak year, 2009–10 (Nielsen’s measurement period starts and ends in September). Since then, however, little kids have watched less and less television; as of last spring, ratings in 2018 were down a full 20 percent from just last year. As analysts like to put it, the industry is in free fall. The cause is obvious: More and more kids are watching videos online.

YouTube ads provided a big percentage of the Segarses’ income during those early days, and worked well with their content. “Our workouts require strategically placed water breaks, which easily lends itself to monetization/ads that aren’t intrusive to the user experience,” says Segars. “People even joke about how relieved they are to see ads and get a quick minute to catch their breath.” Meanwhile, that revenue allowed them to adopt a no-sponsor policy. “It has cut out a lot of monetization opportunities, but our audience is well aware of our stance and appreciates it,” Segars continues. “We think that trust is an important part of building a brand.” As a result, they’ve roped in a loyal audience that’s now willing to pay for a variety of workout programs and meal plans for sale on the Fitness Blender website.
For people who dream of making money on YouTube, there are lots of online celebrities and channels to aspire to imitate. There's makeup superstar James Charles, who became the first male CoverGirl model. Liza Koshy's fame on Vine and then YouTube has led to traditional film and TV gigs, including a role in a Tyler Perry film. Even pop star Justin Bieber got his start on YouTube. According to YouTube, the number of channels that earned five figures or more grew by more than 50 percent from July 2017 to July 2018. Channels earning six figures per year increased by 40 percent.

This indirect, dog-whistle form of alt-right messaging is common for the channel, which deliberately uses pop culture imagery, mainly drawn from animated series like Death Note and in particular the Cartoon Network TV series Steven Universe, as a tool for spreading white supremacist propaganda. Some of the many examples littering the channel’s videos include frequent references to media creators and other public figures using the historically loaded slur “Jews,” and references to anti-Semitic conspiracy phraseology such as “the Jewish question,” a frequent alt-right dog whistle that refers to the “Endlösung der Judenfrage” — German for “Final Solution to the Jewish Question” and the official Nazi code language for planning and carrying out the Holocaust.
Five years on, ChuChu TV is a fast-growing threat to traditional competitors, from Sesame Street to Disney to Nickelodeon. With all its decades of episodes, well-known characters, and worldwide brand recognition, Sesame Street has more than 5 billion views on YouTube. That’s impressive, but ChuChu has more than 19 billion. Sesame Street’s main feed has 4 million subscribers; the original ChuChu TV channel has 19 million—placing it among the top 25 most watched YouTube channels in the world, according to the social-media-tracking site Social Blade—and its subsidiary channels (primarily ChuChu TV Surprise Eggs Toys and ChuChu TV Español) have another 10 million.
YouTube Go is an Android app aimed at making YouTube easier to access on mobile devices in emerging markets. It is distinct from the company's main Android app and allows videos to be downloaded and shared with other users. It also allows users to preview videos, share downloaded videos through Bluetooth, and offers more options for mobile data control and video resolution.[225]

As it became clear that ChuChu videos were being watched by millions of people on six continents, Krishnan and Chandar started branching out into original songs and nursery rhymes, which Krishnan has been writing for the past couple of years. Their content runs the gamut, from an adaptation of “Here We Go Round the Mulberry Bush,” dedicated to tree planting as a way to fight global warming, to “Banana Song” (“Na na na banana / long and curved banana”).
If you think that’s alarming, especially given the many teens and preteens who watch and are influenced by PewDiePie, you’re not alone. In many ways, PewDiePie’s trollish irreverence and offense-proof shock humor embodies a more pervasive overlap between YouTube’s gaming culture and its alt-right culture. And the criticisms leveled at him in his role as YouTube’s most popular creator represent what seems to have become a larger battle to reclaim YouTube culture— a battle that in recent months has come to a head around PewDiePie himself.
User entitlement -- A key to the plan of scaling up and eventually figuring out how to make money is free services for users. The minute you charge people, most walk off, particularly when they've been trained to assume that services should be free. YouTube has clearly told people that they should expect free video streaming, even if it has considered an ad-free paid subscription service. Getting consumers to change their behavior after they've become used to not paying is next to impossible.
In a widely circulated essay last year, the artist James Bridle highlighted the many violent, odd, and nearly robotic children’s videos sitting in the vaults of YouTube. They didn’t seem made by human hands, he wrote, or at least not completely. Some were sadistic or sick. (After Bridle’s essay was published, YouTube undertook an effort to purge the site of “content that attempts to pass as family-friendly, but clearly is not,” and ultimately removed some of the disturbing videos the essay cited.) Others seemed like grab bags of keywords that had been successful for more professional operations: nursery rhymes, surprise eggs, finger family, learning colors. These were videos reverse engineered from whatever someone might enter into the YouTube search box. And though none of these videos has achieved the scale of ChuChu’s work, they definitely get seen, and are occasionally recommended to a child who has been happily watching something more virtuous.
But whereas Disney has long mined cultures around the world for legends and myths—dropping them into consumerist, family-friendly American formats—ChuChu’s videos are a different kind of hybrid: The company ingests Anglo-American nursery rhymes and holidays, and produces new versions with subcontinental flair. The characters’ most prominent animal friend is a unicorn-elephant. Nursery rhymes become music videos, complete with Indian dances and iconography. Kids of all skin tones and hair types speak with an Indian accent.
During the same court battle, Viacom won a court ruling requiring YouTube to hand over 12 terabytes of data detailing the viewing habits of every user who has watched videos on the site. The decision was criticized by the Electronic Frontier Foundation, which called the court ruling "a setback to privacy rights".[320][321] In June 2010, Viacom's lawsuit against Google was rejected in a summary judgment, with U.S. federal Judge Louis L. Stanton stating that Google was protected by provisions of the Digital Millennium Copyright Act. Viacom announced its intention to appeal the ruling.[322] On April 5, 2012, the United States Court of Appeals for the Second Circuit reinstated the case, allowing Viacom's lawsuit against Google to be heard in court again.[323] On March 18, 2014, the lawsuit was settled after seven years with an undisclosed agreement.[324]

Though the furor around PewDiePie’s repeated antics has subsided after each of these incidents, his courting of alt-right ideas has not. Though he has never openly identified himself as a member or supporter of the alt-right, he has continued to like and promote channels run by alt-right-affiliated users, and earlier this year, he made a video in which he reviewed the right-wing personality and alt-right hero Jordan Peterson’s controversial self-help book. In the review, PewDiePie endorsed the book, called it a “fun” read, and said he would take some of its advice.


But as the latest controversy around PewDiePie illustrates, his jokes have failed to land with many, many YouTube users, and there’s growing frustration with YouTube for not doing more to combat the growth of extremism in its midst. Though its most recent move of simply erasing PewDiePew from its rosily optimistic look back at 2018 might temporarily help to create a positive public image, when considering the evolution of PewDiePie’s influence alongside his steady drift toward the far right, it’s increasingly difficult to look back and laugh.
On one side lies many overlapping subcultures that make up huge swaths of the YouTube populations: its tremendous gaming communities, including Let’s Play-ers, live streamers, machinima-style editors, and vloggers; its prank cultures and their overlap with stunt personalities like Jake and Logan Paul; and its increasingly insidious alt-right presence.
Once you link your AdSense account to your YouTube account, you will receive credit for each video’s monthly revenue. Once you accumulate $100 in earnings, Google will issue a payment to your bank account. You can choose to be paid via direct deposit (not available in all countries) or check—direct deposit is the fastest method and has no fee. If you are located in the United States and earn more than $600 per year, Google will issue a 1099 form. Either way, you are required to pay income tax on your earnings.
“[P]ewdiepie is, once again, doing exactly what neo-nazis want,” Kotaku reporter Nathan Grayson commented on Twitter in response to the incident. “[W]hether he’s just memeing or he ascribes to these values, it doesn’t matter. [W]hat matters is that he normalizes these ideas as jokes on THE platform where kids increasingly get their first exposure to the world at large.”
But even in relatively limited doses, these videos can affect young toddlers’ development. If kids watch a lot of fast-paced videos, they come to expect that that is how videos should work, which could make other educational videos less compelling and effective. “If kids get used to all the crazy, distracting, superfluous visual movement, then they may start requiring that to hold their attention,” Johnson says.
As Grayson notes, PewDiePie’s endorsement of the E;R channel continues a long trend of the vlogger using his influence to normalize white supremacist alt-right rhetoric to an alarming — and, on YouTube, increasingly widespread — degree. In 2016 and 2017, PewDiePie faced intense backlash for multiple instances in which he promoted Nazi symbolism and anti-Semitism, including a video in which he threw a Nazi “heil” salute, and one in which he hired a pair of performers from a freelancer website to hold up a sign reading “Death to all Jews,” ostensibly as a satirical exercise. He followed that so-called stunt with a video where he used a racist slur during a gaming live stream.
But from where I’m sitting, these videos are a lot like the TV show Jackass – which was on MTV between 2000 and 2002. The show featured self-injuring stunts including inserting a toy car into one cast member’s anus, snorting wasabi, and tattooing in a moving off-road vehicle. The show was broadcast before 10pm, prior to a campaign led by US Senator Joe Lieberman to remove it.
Both private individuals[246] and large production companies[247] have used YouTube to grow audiences. Independent content creators have built grassroots followings numbering in the thousands at very little cost or effort, while mass retail and radio promotion proved problematic.[246] Concurrently, old media celebrities moved into the website at the invitation of a YouTube management that witnessed early content creators accruing substantial followings, and perceived audience sizes potentially larger than that attainable by television.[247] While YouTube's revenue-sharing "Partner Program" made it possible to earn a substantial living as a video producer—its top five hundred partners each earning more than $100,000 annually[248] and its ten highest-earning channels grossing from $2.5 million to $12 million[249]—in 2012 CMU business editor characterized YouTube as "a free-to-use ... promotional platform for the music labels".[250] In 2013 Forbes' Katheryn Thayer asserted that digital-era artists' work must not only be of high quality, but must elicit reactions on the YouTube platform and social media.[251] Videos of the 2.5% of artists categorized as "mega", "mainstream" and "mid-sized" received 90.3% of the relevant views on YouTube and Vevo in that year.[252] By early 2013 Billboard had announced that it was factoring YouTube streaming data into calculation of the Billboard Hot 100 and related genre charts.[253]

The online-video unit posted revenue of about $4 billion in 2014, up from $3 billion a year earlier, according to two people familiar with its financials, as advertiser-friendly moves enticed some big brands to spend more. But while YouTube accounted for about 6% of Google’s overall sales last year, it didn’t contribute to earnings. After paying for content, and the equipment to deliver speedy videos, YouTube’s bottom line is “roughly break-even,” according to a person with knowledge of the figure.

Observers speculate Google has sought streaming rights to on-demand TV shows and movies to bolster YouTube Red, its new subscription service. Some media reports suggest Google could go a step further and buy rights to live TV channels, making it a more direct foe of pay TV providers such as Comcast (CMCSA), AT&T (T) and Verizon Communications (VZ). Google is usually mentioned when broadcasting rights to major sports are up for grabs.


Finally, leverage your YouTube reputation and attract live speaking engagements. If the YouTube channel you produce is focused on a specific niche or audience, do some research about annual conferences or other industry events that have keynote speakers. Then, utilize your YouTube statistics and some of your best clips, to put together a package and pitch to the directors of these events.

Both private individuals[246] and large production companies[247] have used YouTube to grow audiences. Independent content creators have built grassroots followings numbering in the thousands at very little cost or effort, while mass retail and radio promotion proved problematic.[246] Concurrently, old media celebrities moved into the website at the invitation of a YouTube management that witnessed early content creators accruing substantial followings, and perceived audience sizes potentially larger than that attainable by television.[247] While YouTube's revenue-sharing "Partner Program" made it possible to earn a substantial living as a video producer—its top five hundred partners each earning more than $100,000 annually[248] and its ten highest-earning channels grossing from $2.5 million to $12 million[249]—in 2012 CMU business editor characterized YouTube as "a free-to-use ... promotional platform for the music labels".[250] In 2013 Forbes' Katheryn Thayer asserted that digital-era artists' work must not only be of high quality, but must elicit reactions on the YouTube platform and social media.[251] Videos of the 2.5% of artists categorized as "mega", "mainstream" and "mid-sized" received 90.3% of the relevant views on YouTube and Vevo in that year.[252] By early 2013 Billboard had announced that it was factoring YouTube streaming data into calculation of the Billboard Hot 100 and related genre charts.[253]
But from where I’m sitting, these videos are a lot like the TV show Jackass – which was on MTV between 2000 and 2002. The show featured self-injuring stunts including inserting a toy car into one cast member’s anus, snorting wasabi, and tattooing in a moving off-road vehicle. The show was broadcast before 10pm, prior to a campaign led by US Senator Joe Lieberman to remove it.

After Krishnan rewrote a nursery rhyme, Chandar would then take the lyrics and compose music around them. The songs are simple, but if you hear them once, you will hear them for the rest of your life. Krishnan would storyboard the videos, imagining the sequence of shots, as befitting his youthful dream of becoming a movie director. ChuChu productions are essentially music videos for kids, sometimes featuring Tollywood dance moves that Chandar and Krishnan demonstrate for the animators.


YouTube's still-rapid viewing growth -- driven by smartphones and to an extent connected TVs -- has a lot to do with its revenue momentum. At last week's NewFronts online video ad event, YouTube disclosed it now had over 1.8 billion monthly logged-in viewers, up from 1.5 billion as of last June. And back in February 2017, YouTube said it was seeing over a billion hours per day of viewing -- that's about three times what Netflix (NFLX) witnessed on a record-breaking day in January, and 10 times what YouTube saw back in 2012.
In March 2010, YouTube began free streaming of certain content, including 60 cricket matches of the Indian Premier League. According to YouTube, this was the first worldwide free online broadcast of a major sporting event.[39] On March 31, 2010, the YouTube website launched a new design, with the aim of simplifying the interface and increasing the time users spend on the site. Google product manager Shiva Rajaraman commented: "We really felt like we needed to step back and remove the clutter."[40] In May 2010, YouTube videos were watched more than two billion times per day.[41][42][43] This increased to three billion in May 2011,[44][45][46] and four billion in January 2012.[23][47] In February 2017, one billion hours of YouTube was watched every day.[48][49][50]
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