YouTube has launched an aggressive counteroffensive against TikTok's dominance in short-form video, announcing sweeping changes to its monetization program that will significantly boost creator earnings from Shorts content.
The Gold Rush for Short-Form Creators
At its annual "Made on YouTube" creator event on September 20, the platform unveiled substantial relaxations to its YouTube Partner Program (YPP) requirements alongside new revenue-sharing features specifically designed for Shorts creators.
"We only succeed when our creators succeed," emphasized YouTube CEO Susan Wojcicki in a social media statement, underscoring the platform's creator-first philosophy behind these strategic moves.
The key changes include:
- Lowered YPP thresholds: Shorts creators can now qualify with just 1,000 subscribers and 10 million Shorts views over 90 days, replacing the previous 1,000 subscribers/4,000 watch hours requirement.
- 45% ad revenue share: YouTube will pool Shorts ad revenue monthly, allocating 45% to creators - matching its long-form video payout structure.
- Super Thanks expansion: The fan tipping feature currently in beta testing will roll out to all YPP creators in 2023, enabling direct viewer support for Shorts content.
- New music licensing solution: The upcoming Creator Music library will allow both Shorts and long-form creators to legally license music while maintaining revenue shares.
Why YouTube Is Betting Big on Shorts
This strategic pivot comes as TikTok continues its meteoric rise:
- TikTok surpassed YouTube in Q1 2022 for average monthly user engagement (23.6 vs. 23.2 hours)
- The platform now boasts over 1.5 billion monthly active users globally
- TikTok's US ad revenue is projected to reach $5.96 billion in 2022 - nearly triple 2021's figures
YouTube's previous $100 million Shorts creator fund proved inadequate as the format exploded in popularity. "The fund was our first step, but with Shorts' incredible growth, it no longer meets creators' needs," acknowledged YouTube Chief Product Officer Neal Mohan.
The platform joins TikTok and Meta's Reels in adopting ad revenue sharing as the sustainable monetization standard for short-form video.
Brand Opportunities in the Shorts Revolution
For global brands seeking to capitalize on YouTube's Shorts push, strategic approaches include:
- Channel growth: Use Shorts as discovery tools to drive subscriptions and engagement for primary YouTube channels
- Authentic storytelling: Share behind-the-scenes content showcasing product development, company culture, or event coverage
- Trend participation: Engage with viral challenges and popular formats while maintaining brand voice
- User-generated content: Encourage authentic creator collaborations and unboxing experiences
While Shorts' user base remains smaller than TikTok's, YouTube brings formidable advantages including superior music licensing, massive existing audiences, and more mature monetization infrastructure. For brands navigating the evolving digital landscape, understanding these platform dynamics will prove crucial for international growth strategies.