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YouTube is implementing a revenue-sharing scheme for Shorts content creators to catch up with TikTok, which is leading in the short-video market. The video sharing and social media platform said it would start giving a bigger portion of ad revenue to all popular creators.
YouTube said earlier this week that it would be introducing the next chapter in the reward scheme on its platform. The company explained its rewarding creativity is active again, and this led to the establishment of additional ways for short content creators to become partners.
This means new ways to make money with Shorts content. The new scheme was also described as a "reimagining of how the music industry and creators work together."
As per CNBC, the company's chief production officer, Neal Mohan, unveiled "Made on YouTube" during the annual creator event that was held this week. He shared that starting next year, the company will hand out a portion of revenue from Shorts. Videos that gather the most views are sure to get some extra profits.
In any case, it was noted that it is not yet clear how this opportunity would be gainful for Shorts creators because YouTube did not provide any other details regarding the payouts. Then again, the company did say that it will collect all the ad revenue from Shorts every month, and a percentage of this is allocated to creators. Mohan said that this is the first time that they are offering revenue sharing for short video content.
"We expect the majority of our Shorts Fund recipients to earn more money under this new model, which was built for long-term sustainability," Amjad Hanif, YouTube's vice president of creator products, said in a blog post. "Instead of a fixed fund, we are doubling down on the revenue sharing model that has supercharged the creator economy and enabled creators to benefit from the platform's success."
The executive went on to say, "Revenue sharing on Shorts ads is yet another way for creators to make money—it adds to our full suite of products, which enabled us to pay creators, artists and media companies over $50B over the past three years."
