A new Ad-revenue Sharing model has been introduced by YouTube for Short creators

As part of a larger effort to dominate the short-form video trend, YouTube is prepared to compete with Tiktok. The business has announced that it will offer more direct revenue options for short artists, making YouTube the platform of choice for more creative expertise.

As defined by YouTube

“Beginning in early 2023, short-focused creators can apply to the YouTube associate program by assembling a threshold of 1,000 subscribers and 10 million short views over 90 days. These new companions will get pleasure from the advantages our program presents, together with the varied methods to generate income like advertisements on long-form and fan funding.”

Short-form video is exceedingly challenging to monetize because a 30-second clip cannot simply have pre- and mid-roll adverts added. In the end, it means that it is not possible to directly correlate the performance of advertisements with specific videos. However, YouTube has created a new process that it believes will allow it to truly deliver an equal income share.

“In the shorter feed, there are ads running in between the videos. So, from the overall amount given to creators, the monthly revenue from these adverts will be combined and used to reward short creators and lower the cost of music licensing.

They will keep 45% of the overall amount paid to creators, which will then be distributed according to each one’s share of all short views. Regardless of whether they use music or not, the earning split remains the same.”

As a result, it cannot be termed direct monetization, but rather a more mixed pool of money divided based on video count. This essentially amounts to the same thing, but with an additional complication caused by YouTube being asked to step in and handle pay-out amounts.

It may also result in a number of issues; which YouTube will need to work through in the future.

The 45% revenue split may be entirely different from the typical YPP share, which gives creators a 55% cut of overall ad revenue.

So, why is this quantity reduced for shorts?

As stated by Youtube’s VP of creator products Amjad Hanif

The majority of people who are currently employed in short form do so through a fixed fund, which does not commit a certain percentage to the creator.

Every month, the platform decides how they are going to divide that up. In the end, we’re going to share with each and every creative that follows the feed. Being a part of the feed is distributing it to all creators, whether it is three videos before or after a commercial.

Additionally, we devote a significant amount of manufacturing resources, as well as safety and trust, to shorts. As a result, a portion of that rev share is aware of the finance arrangements we must make.

YouTube is taking a significant cut because of the increased costs of development and music consumption. Even 45% is still significant and will grow in profitability because more advertisers want to benefit from the shorts that are happening now. And being observed by 75% of YouTube’s active viewers.

The fact that YouTube is emphasizing short-form content has made advertisers more attentive. There are also obviously plenty of advertising funds available because YouTube has created a list of very brief video advertisements. Due to this, YouTube may become the preferred location for young artists looking to monetize their videos.

Which they are unable to accomplish on Tiktok because the platform’s creators are already dissatisfied with the constant decline in their pay-outs. While the “Pulse Advertising Program,” an experimental feature that lets producers with 100k followers monetize their clips, is now rather constrained.

The additional financing for the short at YouTube will help to sweeten its whole income share, which has given artists more than $50 billion over the past three years. Longer clips combined with this funding can increase revenue opportunities. It’s obvious that YouTube delivers a better overall product. As a result of increased view counts, YouTube has surpassed Tiktok as the favored medium for many big-name young performers.

Similar to how Meta, and Tiktok will gain inspiration from this initiative, both will undoubtedly try to implement related revenue structures in order to expand their own services. However, eventually, people will go where there is money, and for the time being YouTube is the place to do this.

The end outcome will probably be that authors will try to post on multiple platforms in order to maximize their earnings. Their overall consumption has increased due to the increasing spread of viewers. If a platform really wants to succeed, this obstacle must be removed. Additionally, if there is a shift in favor of individual contacts, this could complicate matters and split the landscape.

However, YouTube appears to be in the driver’s seat when it comes to creator appeal, at least for the time being. Tiktok is having trouble building relationships with artists, and Instagram has acknowledged that it is ineffective at addressing the demands of creators.

Regarding Short-Specific financing, YouTube is also lowering the bar for eligibility for commercialization through YPP to increase accessibility. Along with creating new payment channels for live streams, fan fundraising features like Super Thanks and Super Stickers (including short creators) are also used.

The most recent developments increase YouTube’s monetization choices as a whole and will soon establish new benchmarks for the rest of the sector with regard to short-form video monetization.

However, other platforms can act similarly to YouTube and offer a comparable level of increased income. What does that mean for creators who want to increase their earnings, then?

Now that the stakes have been raised for everyone, it will be interesting to see how other platforms respond.


Since YouTube Shorts has increased competition among its rivals, it will be harder for creators to pick the best choice. If you’re a creator as well and aren’t sure which platform to choose for short-form video production. Fear not, come to Stellar Digital the top digital marketing agency in  Gurgaon and Delhi, NCR providing digital marketing services. We have an expert team of digital marketers that will provide effective solutions to your problem. For getting in touch with us shoot us at contact@stellardigital.in