YouTube offers creators millions to stay off Netflix: What to know

YouTube is reportedly offering some top creators millions of dollars to keep their content exclusive to the platform rather than publishing on Netflix, underscoring the growing competition among digital video platforms for top-tier online creators.

According to Bloomberg, there are two categories of payments: direct funding for specific programs and a share of the revenue YouTube secures through large-scale partnerships. At present, no agreements have been finalized but the company is close to securing deals with several partners.

Warning from YouTube

YouTube executives have warned creators that those who live stream to publish videos on Netflix risk being sidelined from the platform’s marketing campaigns and would lose access to further proceeds from major brand deals.

Last year, YouTube’s total revenue surpassed $60 billion outpacing what Netflix earned that year. The company also says it has distributed more than $100 billion to creators over the past four years.

Notably, this is not the first time YouTube has used competitive bonuses to secure creator loyalty rather paid creators to forgo deals with Vessel-a startup that had been trying to secure priority publishing rights from social media talent.

Nonetheless, the competition between the two platforms has been tailored to target particular audiences.

YouTube now attracts a wider audience than any other streaming service; moreover, Netflix has licensed YouTube digital-first content such as CoComelon to attract younger viewers.