YouTube has introduced a new proposition for content creators to make money through its feature Shorts. The decision has been made amid competition from TikTok. The popular video streaming platform has offered 45 per cent of the total revenue to content makers from sales of advertisements on Shorts. Since its release in 2022, Shorts has gained over 1.5 billion viewers monthly. The decision has been lauded by YouTube content creators.
In recent times, the popularity of TikTok has grown exponentially. According to financial analysts, YouTube recorded the slowest growth in quarterly ad sales and TikTok is a major factor affecting its sales. The New York Times reported that the recent revenue model from YouTube is a sustainable approach.