YouTube is reportedly proposing millions of dollars to content creators with the aim of ensuring their channels remain exclusively on the platform. This initiative seeks to prevent a massive migration of users to Netflix.
This information was initially disclosed in a Bloomberg article. According to two sources who requested anonymity from Business Insider, discussions began several weeks ago, without any formal proposals or defined deadlines.
The agreements would be established so that the content is published only on YouTube for a specified period, with each contract being negotiated individually with the creator. Payments could occur in two ways: through a direct investment in productions or by sharing percentages of advertising contracts with major brands.
In addition to offering remuneration, the company would use other tactics to maintain exclusivity over its main attractions. The sources indicated that YouTube also warned that publishing videos on platforms like Netflix could harm audience reach on the YouTube platform itself, resulting in the loss of boosts, event invitations, and participation in campaigns.
YouTube's offers represent a reaction to the growing interest of streaming companies in this type of programming, signaling that a segment where the Google platform held absolute dominance is under threat. With the same material available in other outlets, YouTube fears that advertisers will start negotiating lower prices for advertising spaces.
Previously, there was a clear separation between activities: creators used YouTube to develop their audience, while Netflix and competitors offered movies, series, and sports broadcasts. However, this dynamic has begun to change in recent months, as Netflix started attracting creators who built their following on YouTube.
Netflix is not the only interested party; Peacock (owned by Comcast), Hulu (from Disney), and Amazon are also looking to diversify their content offerings. Among the examples of YouTubers who have signed agreements to bring their videos to the paid streaming platform are Alan Chikin Chow (with 101 million subscribers on YouTube), chef Nick DiGiovanni (with 45 million), influencer Salish Matter (with 37 million on her father Jordan Matter's channel), and educator Ms Rachel (with 21 million).
Additionally, Netflix is reportedly in negotiations with dozens of other creators, including those responsible for the Hot Ones interview channel. The platform has also begun to display video-format podcasts and is evaluating the inclusion of television channels.
This strategy has two main objectives. The first is to raise engagement metrics on the platform, data that shows investors subscriber satisfaction and loyalty. The second reason is purely financial, as it costs significantly less to pay a YouTuber or a podcaster than to produce a feature film or a series.