How Much Is YouTube’s Net Worth?
YouTube is without a doubt, one of the greatest success stories on the entire Internet. Not only has YouTube’s net worth grown exponentially in the past dozen years, but it’s also created more video creator millionaires than any other platform on the planet. Furthermore, for every video channel that’s made over $1 million, there are thousand’s more video creators making decent five and six-figure incomes from YouTube. Well, at least they were before the site recently changed the rules on how much (if any) they’ll be paying creators for some videos going forward while boosting YouTube’s net worth at the same time.
The entire YouTube companies net worth is estimated around $100 billion. Not that Alphabet (Google’s parent company) would ever sell their prized jewel, but if they did, expect to pay at least 12 figures. What’s even more impressive for the video download site Google paid $1.6 billion in 2006, is how much revenue YouTube generates. Currently, (or should I say before the advertiser’s boycott began) YouTube generates around $12 billion in annual sales. That’s $1 billion dollars in gross sales every month helping pay creators for their unique video content. But the rules have now changed for both the producer and the advertiser.
Is YouTube Too Big?
Within a few weeks after Wall Street Journal ran a story about big brand ads appearing on questionable videos, thousands of YouTuber’s are wondering what the heck just happened to their channels. When large advertisers like Walmart, Starbucks, GM, and Pepsi (to name just a few) started pulling their ads, it’s now created an even bigger problem for YouTube that potentially could lead it down the same path as MySpace.
Thousands of people make a full-time income producing YouTube videos, or should I say they used to make decent money. Now, one of the trending videos to make is if their channel can financially survive this tidal wave. Has it finally come to a point it’s no longer worth making YouTube videos because if you say even one wrong word the video will not show paying ads? Some popular channels had their entire library of videos pulled from showing ads and took away any motivation to create new content at the same time.
How can an article in the Wall Street Journal disrupt and effectively change YouTube and video creator’s motivation going forward? Sure, the video’s used making their point shouldn’t be monetized or even on the platform. But I’m talking about popular channels that all of a sudden YouTube deems their contents no longer advertiser friendly. If you so much as mention anything that may be offensive to anyone, well, don’t expect the video will be monetized in the future.
YouTube Advertiser Boycott
Of course, the advertisers are still willing to spend money just like they were doing last month before the article appeared. But now, now those same videos are considered not advertiser-friendly, and neither the (smaller) advertiser or the video creator can do anything about monetizing that content.
YouTube vs New Video Site
Is YouTube purposely trying to create competition for a new video site? If so, they’re doing a good job having some of their most talented creators worried and starting to look for other alternatives. Obviously, to keep YouTube’s net worth growing they need to keep the big-budget advertisers happy, (for lack of better words) but they also need motivated video creators free to make unique content within their niche. It doesn’t make any sense why YouTube’s taken this opportunity to seemingly punish a wide variety of video creators financially.
Hopefully, the disconnect between “the big advertisers” and the video creators will be solved soon.
The best thing to do is support your favorite YouTube channels especially if they’ve been affected by the advertiser’s boycott. One of these days the big boys will wake up and realize this little game’s going to hurt their brands, in the long run, the longer they’re associated with boycotting the most popular video site on the Internet.