Karim said the inspiration for YouTube first came from Janet Jackson's role in the 2004 Super Bowl incident, when her breast was exposed during her performance, and later from the 2004 Indian Ocean tsunami. Karim could not easily find video clips of either event online, which led to the idea of a video sharing site.[9] Hurley and Chen said that the original idea for YouTube was a video version of an online dating service, and had been influenced by the website Hot or Not.[8][10]
As an advertiser on YouTube, you're populating your YouTube channel with video advertisements made by you. The difference between YouTube ads and, say, TV commercials, is that you get to show YouTube ads to more specific and often more engaged audience segments. You'll pay YouTube to host your ads on other, highly watched YouTube channels that appeal to the same viewership you're targeting.
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.
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.
For any well-meaning kids’ producer, one model to look to for inspiration is Fred Rogers—PBS’s Mister Rogers. Rogers didn’t have any deep academic background in children’s development, but early on, he grasped the educational possibilities of the new medium, and in the 15 years between the first children’s show he produced and the national premiere of Mister Rogers’ Neighborhood, he worked constantly to make it better for kids. ChuChu could well be going through a similar stage now. Founded just five years ago, it’s encountering a different, and tougher, media landscape than Rogers did—but his path is still worth following.
This YouTube Money Calculator provides a glimpse into what a user could make with YouTube by estimating a commonly accepted CPM range based off of the average amount of views you insert down below. We take it one step further to provide users with various settings, allowing them to customize the experience. Please remember that these figures are Youtube Estimated Earnings, as there are many mitigating factors which decide what your overall CPM will be.
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We have strict rules on what's allowed, and a system that enables anyone who sees inappropriate content to report it to our 24/7 review team and have it dealt with promptly. We educate our community on the rules and include a direct link from every YouTube page to make this process as easy as possible for our users. Given the volume of content uploaded on our site, we think this is by far the most effective way to make sure that the tiny minority of videos that break the rules come down quickly.[347] (July 2008)
Should PewDiePie have known better? His critics say yes; though he has been dismissive about the uproar, this is far from the first time he has dabbled in alignment with alt-right beliefs, and he’s previously faced backlash for this type of incident so many times that it now seems more than a little intentional. But PewDiePie and his supporters say his critics are overreacting to a harmless mistake — all while tens of thousands of new subscribers have followed the anti-Semitic channel based on PewDiePie’s brief endorsement.
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.
Knowing who you are and, perhaps more importantly, who your audience is will make you attractive to advertisers, sponsors and partners outside the YouTube sphere, experts say. Make sure to also set yourself up as someone who is "brand safe," says Tyler Vaught, head of Niche, Twitter's service that connects creators worldwide with brands to develop branded content. That could mean not using profanities, avoiding charged political topics and dodging drug references and other controversial topics on your channel.
But what about the cost of servers, bandwith etc? I think it might be in the range of  $750 million per year to as high as $1.5 Bn plus ( we will never know as Google never reveals cost of running youtube, and Google has invested heavily in this space ). I feel Youtube as a standalone business  MAY NOT be as profitable a biz as Search and might never be since barely 10% of its content is actually monetizable. But for Google, with $30 Billion revenues, Youtube losses( even if money lost is as high as say $500 million per year) is chump change considering the strategic advantage it gives visavis competition. (Microsoft online businesses lost way more last 10 years). Youtube subsidy by Google has created a monopoly which has effectively destroyed all independent video ad network business plans.
All that money is providing Google with more financial firepower to buy the rights to stream cable networks' shows on YouTube, too, which is likely to reel in even more viewers. It also is helping finance Alphabet's investments in projects such as self-driving cars and Internet-beaming balloons. That segment, known as Other Bets, lost $865 million during the July-September period, narrowing from a $980-million setback last year as Alphabet imposed more expense controls.
Where eyeballs go, money follows. “People giving up TV and getting video content through mobile devices is a huge trend, and brands are spending huge amounts to reach those audiences,” says Evan Asano, the CEO of MediaKix, an influencer marketing agency. “It’s a similar, if not bigger market for influencers than Instagram.” Another reason brands love YouTube is that its numbers are harder to fake. “You can buy views on YouTube, but it’s much more expensive than buying followers and likes on Instagram,” Asano says. “It’s pretty cost-prohibitive to drastically inflate a channel’s views on a consistent basis.”
YouTube Premium (formerly YouTube Red) is YouTube's premium subscription service. It offers advertising-free streaming, access to exclusive content, background and offline video playback on mobile devices, and access to the Google Play Music "All Access" service.[206] YouTube Premium was originally announced on November 12, 2014, as "Music Key", a subscription music streaming service, and was intended to integrate with and replace the existing Google Play Music "All Access" service.[207][208][209] On October 28, 2015, the service was relaunched as YouTube Red, offering ad-free streaming of all videos, as well as access to exclusive original content.[210][211][212] As of November 2016, the service has 1.5 million subscribers, with a further million on a free-trial basis.[213] As of June 2017, the first season of YouTube Red Originals had gotten 250 million views in total.[214]
In August 2008, a US court ruled in Lenz v. Universal Music Corp. that copyright holders cannot order the removal of an online file without first determining whether the posting reflected fair use of the material. The case involved Stephanie Lenz from Gallitzin, Pennsylvania, who had made a home video of her 13-month-old son dancing to Prince's song "Let's Go Crazy", and posted the 29-second video on YouTube.[325] In the case of Smith v. Summit Entertainment LLC, professional singer Matt Smith sued Summit Entertainment for the wrongful use of copyright takedown notices on YouTube.[326] He asserted seven causes of action, and four were ruled in Smith's favor.[327]
6. Meet up with fans in the real world: Meetups and similar events let YouTubers connect with viewers and sell merchandise. They’re usually best suited to those with active and engaged subscribers. Those with smaller audiences might want to skip ticketed events and bank on merchandise sales instead. Or if, for example, your videos teach viewers how to draw, you could set up a free class at a local park and sell your book of drawing techniques afterward.

What kind of sales multiple does this fast-growing video juggernaut deserve? It's tough to think of a direct comparison. Netflix, which trades for over eight times its 2018 revenue consensus, relies on subscription revenue rather than ads. And whereas YouTube largely relies on ad revenue-sharing deals with content partners, Netflix directly pays its content partners for their material.
The Legion of Extraordinary Dancers[271] and the YouTube Symphony Orchestra[272] selected their membership based on individual video performances.[254][272] Further, the cybercollaboration charity video "We Are the World 25 for Haiti (YouTube edition)" was formed by mixing performances of 57 globally distributed singers into a single musical work,[273] with The Tokyo Times noting the "We Pray for You" YouTube cyber-collaboration video as an example of a trend to use crowdsourcing for charitable purposes.[274] The anti-bullying It Gets Better Project expanded from a single YouTube video directed to discouraged or suicidal LGBT teens,[275] that within two months drew video responses from hundreds including U.S. President Barack Obama, Vice President Biden, White House staff, and several cabinet secretaries.[276] Similarly, in response to fifteen-year-old Amanda Todd's video "My story: Struggling, bullying, suicide, self-harm", legislative action was undertaken almost immediately after her suicide to study the prevalence of bullying and form a national anti-bullying strategy.[277] In May 2018, London Metropolitan Police claimed that the drill videos that talk about violence give rise to the gang-related violence. YouTube deleted 30 music videos after the complaint.[278]
The SEC late last year prodded the company to explain why it doesn’t share YouTube data, according to regulatory filings in February. Accounting rules require companies to disclose revenue for operating segments that account for 10% of a company’s total revenue, profit or combined assets. YouTube’s numbers are included in Alphabet’s advertising figure.
An independent test in 2009 uploaded multiple versions of the same song to YouTube, and concluded that while the system was "surprisingly resilient" in finding copyright violations in the audio tracks of videos, it was not infallible.[339] The use of Content ID to remove material automatically has led to controversy in some cases, as the videos have not been checked by a human for fair use.[340] If a YouTube user disagrees with a decision by Content ID, it is possible to fill in a form disputing the decision.[341] Prior to 2016, videos weren't monetized until the dispute was resolved. Since April 2016, videos continue to be monetized while the dispute is in progress, and the money goes to whoever won the dispute.[342] Should the uploader want to monetize the video again, they may remove the disputed audio in the "Video Manager".[343] YouTube has cited the effectiveness of Content ID as one of the reasons why the site's rules were modified in December 2010 to allow some users to upload videos of unlimited length.[344]
This year, Heather Hund and her family will gather in West Texas on December 25 and solidify a new Christmas tradition, in which each relative is randomly assigned to give a gift to another family member and to a house pet. “The rules are basically a regift for the human and then $10 for the pet,” Hund told me. “And my 18-month-old son got put in [the latter] category too, so it’s small humans and small animals.”
Krishnan had no experience other than his own parenting. But if whatever he did as a parent worked for his kids, he felt, why wouldn’t it work for everyone? For example, when he taught his kids left from right, he liked to do it in the car, when they were in the back seat. That way, if he pointed left, it was left for them, too. So when ChuChu made a video teaching the left-right concept, it made sure to always show the characters from behind, not mirrored, so that when a character pointed left, the kids watching would understand.
Estimates for YouTube's annual revenue, nearly all of which still comes from ads, vary a fair amount. But many of the estimates are now above $10 billion. At different points, Bank of America and Mizuho forecast that YouTube would post 2017 revenue of $13 billion and $12 billion, respectively. And in February, Baird's Colin Sebastian estimated YouTube is doing around $15 billion in annual sales.
The world of YouTube is vastly different from the world of broadcast television. While broadcasters in the United States and abroad are bound by rules, and the threat of punishment for breaking those rules, far fewer such regulations apply to the creators of YouTube content, or to YouTube itself. YouTube’s default position is that no one under 13 is watching videos on its site—because that’s the minimum age allowed under its terms of service. In addition to its main site, however, the company has developed an app called YouTube Kids. Like normal YouTube, it plays videos, but the design and content are specifically made for parents and children. It’s very good. It draws on the expertise of well-established children’s-media companies. Parents can restrict their children’s viewing in a multitude of ways, such as allowing access only to content handpicked by PBS Kids. But here’s the problem: Just a small fraction of YouTube’s 1.9 billion monthly viewers use it. (YouTube Kids is not available in as many countries as normal YouTube is.)
Most modern smartphones are capable of accessing YouTube videos, either within an application or through an optimized website. YouTube Mobile was launched in June 2007, using RTSP streaming for the video.[133] Not all of YouTube's videos are available on the mobile version of the site.[134] Since June 2007, YouTube's videos have been available for viewing on a range of Apple products. This required YouTube's content to be transcoded into Apple's preferred video standard, H.264, a process that took several months. YouTube videos can be viewed on devices including Apple TV, iPod Touch and the iPhone.[135] In July 2010, the mobile version of the site was relaunched based on HTML5, avoiding the need to use Adobe Flash Player and optimized for use with touch screen controls.[136] The mobile version is also available as an app for the Android platform.[137][138] In September 2012, YouTube launched its first app for the iPhone, following the decision to drop YouTube as one of the preloaded apps in the iPhone 5 and iOS 6 operating system.[139] According to GlobalWebIndex, YouTube was used by 35% of smartphone users between April and June 2013, making it the third-most used app.[140]
After all, relatability is a YouTuber’s greatest asset — along with a willingness to keep plugging away. “If you’re passionate about it, you really increase your chances of success,” says Asano. “It’s a lot of work. To produce just one video, you need camera equipment, a computer to edit it on, and time. And if you’re just starting out, you’re not going to get paid for a while because you need to build your subscribers. Don’t do it because you think you’re going to make an easy buck, because it’s not.”
YouTube featured an April Fools prank on the site on April 1 of every year from 2008 to 2016. In 2008, all links to videos on the main page were redirected to Rick Astley's music video "Never Gonna Give You Up", a prank known as "rickrolling".[236][237] The next year, when clicking on a video on the main page, the whole page turned upside down, which YouTube claimed was a "new layout".[238] In 2010, YouTube temporarily released a "TEXTp" mode which transformed colors in videos to random uppercase letters "in order to reduce bandwidth costs by $1 per second."[239] The next year, the site celebrated its "100th anniversary" with a range of sepia-toned silent, early 1900s-style films, including a parody of Keyboard Cat.[240] In 2012, clicking on the image of a DVD next to the site logo led to a video about a purported option to order every YouTube video for home delivery on DVD.[241] In 2013, YouTube teamed up with satirical newspaper company The Onion to claim that the video sharing website was launched as a contest which had finally come to an end, and would announce a winner of the contest when the site went back up in 2023.[242] In 2014, YouTube announced that it was responsible for the creation of all viral video trends, and revealed previews of upcoming internet memes, such as "Clocking", "Kissing Dad", and "Glub Glub Water Dance".[243] The next year, YouTube added a music button to the video bar that played samples from "Sandstorm" by Darude.[244] In 2016, YouTube introduced an option to watch every video on the platform in 360-degree mode with Snoop Dogg.[245]
In any case, if you have incontrovertible evidence that YouTube is actually unprofitable today, and why that is (i.e. is it because they’re just investing all that profit back into growth, or are their upkeep costs truly just on the order of multiple billions of dollars?), would love to see it and adjust this accordingly. Doesn’t really change any of the points made though.
The great thing about sponsorships is that you don’t have to give YouTube a cut. Plus, you can negotiate whatever contracts you want based on impressions and the size of your audience. In most cases, the amount of revenue you generate from sponsorships is substantially more than YouTube ad revenue. (Meanwhile, you can still generate ad revenue. So it’s like having two sources of income from the same video.)
Where eyeballs go, money follows. “People giving up TV and getting video content through mobile devices is a huge trend, and brands are spending huge amounts to reach those audiences,” says Evan Asano, the CEO of MediaKix, an influencer marketing agency. “It’s a similar, if not bigger market for influencers than Instagram.” Another reason brands love YouTube is that its numbers are harder to fake. “You can buy views on YouTube, but it’s much more expensive than buying followers and likes on Instagram,” Asano says. “It’s pretty cost-prohibitive to drastically inflate a channel’s views on a consistent basis.”
Absent substantive oversight by regulators, in the late 1960s the calls for change entered a new, more creative phase. A group calling itself Action for Children’s Television began advocating for specific changes to programming for young kids. The Corporation for Public Broadcasting was formed in 1968 with government dollars. At the same time, Children’s Television Workshop began producing Sesame Street, and the forerunner to PBS, National Educational Television, began distributing Mister Rogers’ Neighborhood. These shows were tremendously successful in creating genuinely educational television. By the time children’s programming got swept up into the growing cable industry, the big channels had learned a lot from the public model, which they incorporated into shows such as Dora the Explorer and Blue’s Clues.

You can also sign up for Patreon, which allows you to launch membership-only video channels through YouTube at a small fee per month for regular rewards. Just imagine how much a YouTube channel could generate if it has the 1,000 subscribers required by the YPP. Charge $1 for a new channel with new content, and you could be looking at a solid monthly revenue stream.


In October 2015, YouTube announced YouTube Red (now Youtube Premium), a new premium service that would offer ad-free access to all content on the platform (succeeding the Music Key service released the previous year), premium original series and films produced by YouTube personalities, as well as background playback of content on mobile devices. YouTube also released YouTube Music, a third app oriented towards streaming and discovering the music content hosted on the YouTube platform.[62][63][64]

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