Google Inc’s (NASDAQ:GOOG) YouTube Red, the recent venture that the largest video streaming company has moved into being under the radar. The situation has taken an ugly turn owing to the way in which YouTube has handled its creators. The main plus point for the viewers with YouTube Red is that the number of advertisements on the show will be considerably less than what we have right now. A subscription of YouTube Red will free the viewers of the pre-rolled advertisements that come up every time before the start of any video. But the subscription is not free.
The viewers will have to pay a monthly amount of $9.99 to get access to advertisement free YouTube, Google Play Music and all the exclusive content from the creators on YouTube. YouTube’s Chief Business Officer, Robert Kyncl, has stated that “Ninety-nine point nine percent of the content on YouTube will be free, as it always has been”.
All of this is quite lucrative from the viewer’s point of view. But the Content Creators have been left in a pretty bad situation. The options available to them include either joining YouTube Red Payroll, or to continue as independent creators. But if any creator chooses the latter, then YouTube will mark those videos as Private and will only be available to its creator.
According to a YouTube’s Spokesperson, “Today, the overwhelming majority of our partners, representing nearly 99 percent of the content watched on YouTube, have signed up. Videos of partners who don’t update their terms will be made private, but we remain committed to working closely with these partners with the goal of bringing them on board”.
The situation is dicey as it will be interesting to see what the Content Creators do? And what happens if a creator with huge followers decides to stay out of the official partnership program.