YouTube is gearing up to give Shorts creators a cut of ad revenue, report says

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.

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.

Amjad Hanif, the vice president of product management and creator products, said during the meeting that the payments will “really help creators understand why YouTube is the place to start their Shorts career.” Hanif also said that the company will allow creators to use popular music in videos and make money from the content. Revenue previously went to the copyright holders of the music.

The New York Times also reports that YouTube plans to make it easier for creators to be a part of its partner program. Hanif said during the meeting that it is “the largest expansion we’ve done in several years creating new ways for creators to join the program.”

YouTube did not respond to The New York Times’ or TechCrunch’s request for comment.

These upcoming reported changes will help YouTube gain an edge against TikTok, which is arguably its biggest competitor. YouTube plans to make itself a viable and attractive platform for short-form video creators looking to receive stable monetization for their content. It’s worth noting that TikTok creators and YouTubers have long criticized the app’s monetization options, noting that payments are low and inconsistent.

Although YouTube has a creator fund for Shorts users, the cut of ad revenue will give creators access to stable monetization, as opposed to one-off payments. 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.

Google began rolling out ads in YouTube Shorts in May, noting at the time that the roll out marked a key step in the company’s road to developing a long-term YouTube Shorts monetization solution for creators.