Until last month, pretty much any random person could enable the “monetization” setting on their YouTube account and get ads on their videos, allowing them to earn a fraction of a cent for every time a person viewed or clicked on their content. That all changed in January, however, when Google (YouTube’s owner) announced new standards to merit those ads. Now, to be accepted into the “YouTube Partner Program” and monetize your channel, you need a minimum of 1,000 subscribers and 4,000 hours of watch-time over the past 12 months; your videos will also be more closely monitored for inappropriate content. Meanwhile, YouTube also promised that members of “Google Preferred” — a vaunted group of popular channels that make up YouTube’s top 5 percent, and command higher ad dollars because of it — will be more carefully vetted. (These shifts followed the Logan Paul controversy, as well as a brouhaha about ads running on unsavory content, such as sexually explicit or extremist videos.)
As far as I am presently aware, the true fact stands that YouTube is valued by multiple sources at around $100 billion, and they absolutely are taking a massive cut from content creators. Regardless of their exact numbers, the fact remains that they are taking a massive cut that could otherwise go directly to content creators, that absolutely, unequivocally makes the difference for many of those creators between profitability and operating at a loss.
The driver dropped me off just south of the center of the city, in an area of new high-rises that overlook Srinivasapuram, a fishing village on the Bay of Bengal. The village hangs on to the edge of the city, which has been modernizing fast; the government has been trying to relocate the village for years. From my hotel, I watched tiny figures wander over to the Adyar River estuary and squat, staring up at the opulence of the new Chennai.
I’m sure you have seen a viral YouTube video. They come in all shapes and sizes—from super popular songs like “Watch Me (Whip/Nae Nae)” to a funny grumpy cat, someone falling down, or even something completely off the wall like Ylvis' “What Does the Fox Say?" video. What do they all have in common? Well, these posters all made a ton of money on YouTube when their videos went viral.
Also in November 2017, it was revealed in the media that many videos featuring children – often uploaded by the minors themselves, and showing innocent content – were attracting comments from pedophiles and circulating on the dark web, with predators finding the videos by typing in certain keywords in Russian. As a result of the controversy, which added to the concern about "Elsagate", several major advertisers whose ads had been running against such videos froze spending on YouTube.
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.
Some investors and others have renewed calls for more transparency from YouTube in light of accounting rules and recent questions raised by the Securities and Exchange Commission about its disclosures. They say YouTube has become a material part of Alphabet’s business and an important driver of its growth, warranting quarterly disclosure of its revenue, costs and profitability. Some investors are also arguing that the lack of disclosure around YouTube could potentially be undervaluing Alphabet.
This goes against what has drawn many audiences to the platform in the first place. YouTube has a history of LGBT acceptance – being the home of the “it gets better” videos, in which celebrities and public figures tell their coming out stories. Many people have also spoken about how YouTube’s videos on transitioning or mental health helped them greatly. So given this, it is hoped that going forward, YouTube also remembers to pay attention to their communities and audiences as well as the big brands and content creators.
In 2013, the average cost per thousand (CPM) for YouTube was $7.60. CPM (cost per thousand) is an industry term that represents revenue per thousand views. In 2013, the average income for each YouTube content creator was $7.60 per every thousand views. A video with 500 views would have earned roughly $3.80. A video like Gangnam Style with a billion views would earn $7.8 million. Some videos earn a higher or lower than average rate depending on the video content. Videos containing copyrighted music do not earn revenue for the video creator, and some topics may not attract advertisers. Others have a strong draw from advertisers and drive up the CPM.
YouTube was founded by Chad Hurley, Steve Chen, and Jawed Karim, who were all early employees of PayPal. Hurley had studied design at Indiana University of Pennsylvania, and Chen and Karim studied computer science together at the University of Illinois at Urbana-Champaign. According to a story that has often been repeated in the media, Hurley and Chen developed the idea for YouTube during the early months of 2005, after they had experienced difficulty sharing videos that had been shot at a dinner party at Chen's apartment in San Francisco. Karim did not attend the party and denied that it had occurred, but Chen commented that the idea that YouTube was founded after a dinner party "was probably very strengthened by marketing ideas around creating a story that was very digestible".