YouTube is reportedly offering popular creators millions of dollars to keep their videos exclusive to the platform for a specified period, as the video giant moves to counter Netflix’s growing push into creator-led content.
According to a Bloomberg report, YouTube has approached several popular channels with financial incentives to upload videos on YouTube first and keep them exclusive for a set window. The discussions have not yet resulted in signed agreements, although YouTube is reportedly close to deals with several partners.
The proposed deals could take different forms. YouTube has discussed directly financing certain programs and offering creators a share of large-brand campaigns that the platform controls.
There is also a clear condition attached. Creators who sign deals with Netflix and release videos on both platforms simultaneously could face reduced support from YouTube. The platform has told creators that such channels may be less likely to receive marketing support or stage time at YouTube events. They could also be excluded from revenue generated through certain major brand campaigns.
The move marks a notable shift for YouTube, which has traditionally relied heavily on its advertising revenue-sharing model rather than directly funding creators at scale.
Netflix has spent the past year expanding its relationship with YouTube creators. It has paid creators including Alan Chikin Chow and Nick DiGiovanni to publish the same videos on both platforms. It is reportedly in talks with dozens of other channels and shows, including the celebrity interview series Hot Ones.
For creators, the appeal is straightforward. Netflix offers additional payments and exposure to a streaming service with more than 325 million subscribers.
The strategy has already produced visible results. Ms. Rachel ranked among Netflix’s 10 most-watched titles in the first half of the year, ahead of new seasons of The Night Agent and The Lincoln Lawyer, despite being produced at a fraction of the budget associated with a prestige drama.
However, Netflix’s model also comes with limitations. The streaming service wants videos delivered days in advance, which may not align with how many creators operate. It has also asked some creators to remove brand sponsorships.
YouTube’s argument is largely commercial. The company believes that simultaneous publishing across platforms can reduce viewership on YouTube and suggests that creators no longer consider YouTube their primary home.
There is also an advertising concern. If the same video is available on Netflix, advertisers may be harder to convince to invest in campaigns tied exclusively to YouTube.
YouTube CEO Neal Mohan has previously argued that creators working with rival platforms ultimately continue directing audiences back to YouTube, with very few actually leaving the platform.
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The strategy could create tension among creators who do not receive similar offers. Paying selected channels could also raise questions about how YouTube decides which creators receive financial incentives.
The company, however, does not appear interested in becoming a traditional studio that funds shows and controls their creative direction. It has used similar strategies before, including payments to creators to avoid Jason Kilar’s short-lived startup Vessel and the development of Shorts as TikTok grew.
From August 24, YouTube will also begin counting a view from the first frame across all formats, while the older metric will be renamed “Engaged views”. Earnings will not be affected.
YouTube says the change will help creators demonstrate their actual scale to brands. The timing comes as the platform takes a more aggressive approach to protecting its position in the creator economy.