YouTube's new ad policy is considered greedy since it excludes small content creators from its ad revenues. The video platform's channels are greatly relying on ads to earn money for their works.
A young woman walks past a billboard advertisement for YouTube on October 5, 2018 in Berlin, Germany. YouTube has established itself as the biggest global platform for online video presentations.
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However, the new rule will only include creators, with lots of followers, in YouTube's Partner Program. The entitled channels will receive a portion of the ad revenue.
According to The Next Web's latest report, the new ads will still display on smaller channels, however, they will not receive any amount from the advertisements' generated income.
YouTube's new terms of services also stated that the ads will only be displayed on a limited number of videos, but they will not be included in YT's Partner Program, as reported by Gizmodo.
"You grant to YouTube the right to monetize your content [...] (and such monetization may include displaying ads)," said YouTube via The Next Web.
"This agreement does not entitle you to any payments," the company added.
YouTube's new ad policy will be effective in 2021
The giant video platform confirmed that the new Terms of Service will be effective in all regions by 2021. It will be first implemented in the United States.
A young woman wearing headphones walks past a billboard advertisement for YouTube on September 27, 2019 in Berlin, Germany. YouTube has evolved as the world's largest platform for sharing video clips.
Although the outcome might seem unfair, YouTube claims that the new ad policy will not affect the smaller content creators. Why? Because they are not really receiving any revenues from the advertisements right from the very beginning.
However, the decision will still have a major impact since it will affect the viewing experience of their followers. It could also slow the channels' growth since most people don't like ads popping on their screens.
Why small YouTube channels suspend ads
Although advertisement is a great revenue for many big platforms, such as Facebook, Instagram, and Twitter, several YouTube channels suspend them on their videos so that more followers will be attracted to their content.
However, since YouTube is now forcing their ads on smaller content creators without giving them a share of its revenue, this might affect their channels' growth since new subscribers or audiences will have less pure viewing experience.
This seems like a double-kil scenario since it deprives the not-so-popular content makers from the revenue they should be entitled to. Not only that, the new Terms of Service also makes it harder for viewers to have an unhampered viewing experience.
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Written by: Giuliano de Leon.
