The U.S.'s best chance Against TikTok, is YouTube Shorts?
Creator Economy is suffering against a Chinese assault
Hey Everyone,
Let’s face it, TikTok is eating the Western Creator Economy alive. And the U.S. thinks its best defense against this today, is YouTube Shorts.
YouTube is going to start monetizing creators to push its YouTube Shorts product up against the looming TikTok enemy.
YouTube may be the only channel capable of taking on TikTok at this point as we near the end of 2022. Google thinks cash is king when it comes to content, but is it right?
YouTube is gearing up to turn on stable monetization for Shorts, its short-form video product, according to a new report from The New York Times. YouTube plans to launch ads in YouTube Shorts with a revenue share for creators, according to audio from a YouTube all-hands meeting that was obtained by The New York Times.
In this geopolitical climate, that TikTok has more time spent than all of American social media combined for our youth must be a bit concerning! TikTok is a super-app now made by ByteDance, a company with an HQ in Beijing with pretty well documented CCP ties.
The Promises of Google to take on China?
While YouTube does reward Creators financially perhaps the most in the world, is it the lure to make YouTube shorts a rival to TikTok? I have my doubts. As ultra rich as Alphabet tycoons are today, YouTube is about video search, not necessarily how Creators spark into existence.
TikTok is the king of mobile video, while YouTube is often consumed on a variety of sources like smart TVs and so forth, it’s a different culture and likely represents an older demographic.
YouTube is about to play its most valuable card. It’s getting ready to turn on aggressive monetization for Shorts, its short form vertical video format, and promising to help millions of creators make money on the platform. If all else fails, Silicon Valley will force Congress to block TikTok. You know, because there cannot be any true winner but America, right?
The advertising slowdown in 2022 basically also means TikTok is now hurting the business of Meta, Netflix, Instagram and yes YouTube’s captive audience walled garden. I actually think Bilibili is the YouTube of Asia, but what do I know?
The Google-owned company plans to pay creators 45% of the ad money from Shorts, the report says. Creators on YouTube have traditionally received 55% of the revenue from the ads that play before and during videos on the platform.
If you are a Substack Creator and don’t have a YouTube, TikTok and Podcast on Spotify, I feel a bit sorry for you.
The New York Times also reports that YouTube plans to make it easier for creators to be a part of its partner program.
So what will happen to the Creator Economy due to this battle between YouTube shorts, Instagram and TikTok? Thus far I think we can assume TikTok is growing faster than its rivals. However, it’s not necessarily rewarding Creators the best.
Starting early next year, Shorts will be part of the YouTube Partner Program, meaning those who qualify can start getting a share of the ad money generated in Shorts. Think about that, it’s a pretty significant to get good at YouTube Shorts. I’m just going to say it again, from 2023, content creators using YouTube Shorts will be able to monetize their short-form videos as the Google-owned platform battles TikTok.
With the collapse of Meta this year (just look at the stock), I just don’t think Silicon Valley actually knows what competition even means outside of its own monopoly rules on the first iteration of the internet. The Creator Economy isn’t just about the micro niche, but the biggest monetization factors.
So What Now?
The YouTube Partner Program has paid out to creators for years now, and has relatively easy requirements for entry. The minimum requirements for eligibility include at least 1,000 subscribers and 4,000 watch hours over the course of one year. 10 million views on Shorts within 90 days will also be a part of the qualification.
YouTube Shorts first debuted in 2021, and have supposedly quickly grown in popularity. I have not myself seen much evidence of this.
The lure of money never really is a sustainable tactic as we have seen in the past few years. YouTube launched its $100 million creator fund for Shorts last year. As part of the program, YouTube invites thousands of eligible creators to claim a payment ranging anywhere from $100 to $10,000 based on viewership and engagement with their Shorts videos.
Good luck to all Creators hustling in a lucrative attention economy that is only getting more toxic. America has no idea how to create mobile apps in the 2020s, it’s fucking hilarious.
This article will go locked soon, so that’s that.