How YouTube is calculating creators’ ad-revenue shares for Shorts

Starting next month, YouTube will share ad revenue with Shorts creators. However, the originator of the creator ad revenue-sharing program has introduced a new twist with its short-form video service.

Unlike YouTube’s traditional revenue-sharing program or TikTok’s revenue-sharing program Pulse, YouTube is not attaching ads to individual Shorts videos in order to directly split revenue with creators and publishers. Instead, it will pool revenue to divvy up among eligible Shorts makers — but only after accounting for the platform’s music licensing costs.

In other words, the YouTube Shorts revenue-sharing model isn’t as simple as “advertiser pays platform, platform gives creator a cut.” Calculating how YouTube Shorts ad revenue will be split is more like doing taxes than basic arithmetic, as the video below breaks down.

https://digiday.com/?p=485359

More in Future of TV

Future of TV Briefing: Streaming advertisers seek a balance between ad product innovations and ad load protections

This week’s Future of TV Briefing looks at why advertisers are keeping an eye on streaming services’ ad product developments and ad loads.

Future of TV Briefing: Inside Netflix’s CES meetings with ad buyers

This week’s Future of TV Briefing reports on the meetings that Netflix held with ad buyers during last week’s Consumer Electronics Show, during which it discussed its advertising road map for the year.

AI Briefing: CES 2025 showcases more AI for TVs, wearables and advertisers

AI was yet again top of mind in Vegas, with companies showcasing more practical applications.