January 26th, 2007

YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money

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Last summer, in It’s The Users Calling…They Want Their Money, I wrote:

User-generated content is going through a novelty phase, where most “users” are content with attention as a form of recompense for their efforts. But for savvy “users” — or in this case video production artists, let’s get real here — getting paid in attention while hosting platforms like YouTube get all the take-to-the-bank revenue is sheer lunacy.

Turns out that YouTube has finally heard the call. Here’s YouTube founder Chad Hurley at Davos (courtesy of Jeff Jarvis):

Here’s the money quote from Chad:

In terms of paying users revenue against the content that they’re uploading, we’re definitely going to move in that direction. We didn’t want to build a system that was motivated by monetary reward. We wanted to really build a true community around video. When you start out with giving money to people from day one, the people you do attract will just switch to the next provider who’s paying more. We’re at a scale now that we feel we can do that and still have a true community around video.

Translation: We made all those poor slobs work for free, and now that we’ve sold them out for $1.65 billion, we’re finally ready to share a few crumbs.

This is in the running for best spin of 2007.

Oh, and in the first part of the video, Chad describes a new audio fingerprinting technology, which will allow them to start compensating record companies whose copyright-infringed content help rocket YouTube to stardom.

Nothing like thanking the little people.

Comments (16 Responses so far)

  1. [IMG] Scott Karp / Publishing 2.0: YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money

  2. Scott Karp / Publishing 2.0 : YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money Jeremy / SEL CGM Can Pay Off at YouTube — MarketWatch is reporting that YouTube will be offering payouts to you for consumer generated media entries. Considering the seemingly endless stream of lawsuits that Google is experiencing on behalf

  3. YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money — Last summer, in It’s The Users Calling…They Want Their Money, I wrote: … Turns out that YouTube has finally heard the call. Here’s YouTube founder Chad Hurley at Davos (courtesy of Jeff Jarvis):

  4. post your stuff to our sites so we can sell your ass down the river sites. In his case it is about immediate gratification in terms of cash now. In my case it is a copyright issue. Today it finally came to me. In this posting, YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money. He posts this Here’s the money quote from Chad: In terms of paying users revenue against the content that they’re uploading, we’re definitely going to move in that direction. We didn’t want to build a system that was motivated by monetary

  5. the best example of community and the undeniable pull of attention that has changed the media world, but cold hard $$$$ trumps attention every time. Will the introduction of money poison the well of the gift economy? Am I too cynical? (more from Scott Karp

  6. video. When you start out with giving money to people from day one, the people you do attract will just switch to the next provider who’s paying more. We’re at a scale now that we feel we can do that and still have a true community around video.See the video

  7. YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money

  8. e’ stata la sua risposta all’ossessione dei bloggers circa le statistiche e i numeri :) Parla anche delle “briciole di google” in particolare ho trovato molto ben chiaro cosa ha scritto a proposito Scott Karp dopo il discorsetto/annuncio di Chad Hurley a Davos. Sempre a proposito di Lovink consiglio anche la lettura di “The principal of notworking” disponibile in formato pdf. Industria dei media al capolinea: parla Geert Lovink

  9. for its users, it will further squeeze out the other players in the market, many of whom were trying to differentiate themselves by offering to pay for User Generated Content. So why didn’t YouTube pay its users from the start? Hurley (in what Scott Karp suggests could be “the best spin of 2007″) says: We didn’t want to build a system that was motivated by monetary reward. We wanted to really build a true community around video. When you start out with giving money to people from day one, the people you do

  10. stata la sua risposta all’ossessione dei bloggers circa le statistiche e i numeri :) Parla anche delle “briciole di google” in particolare ho trovato molto ben chiaro cosa ha scritto a proposito Scott Karp dopo il discorsetto/annuncio di Chad Hurley a Davos. Sempre a proposito di Lovink consiglio anche la lettura di “The principle of notworking” disponibile in formato pdf. Industria dei media al capolinea: parla Geert Lovink

  11. [...] at HipMojo, Allan Stern at CenterNetworks, Fred Wilson over at A VC, and my pal Scott Karp at Publishing 2.0 — I’m intrigued by Chad Hurley’s comments to the crowd of tall foreheads at Davos [...]

  12. Duh, your time is worth something.

    They should consider credit for new registrations too. Example: very popular band moves to YouTube, inspires fans to register, resulting in a payout large enough to convince other similarly popular bands to do the same, etc. etc.

  13. [...] revenues with content contributors. The move was naturally covered by Pete Cashmore, Om Malik and Nicholas Carr, among others. Everybody seems to be concerned with the projected impact on YouTube’s smaller [...]

  14. [...] and never have to work again. There’s lot of chatter about why YouTube is doing it (check out Scott Karp and Nick Carr for a small taste) but the bigger and far more interesting development is how the [...]

  15. [...] focused on community, and destroyed their competition. Many people in the blogosphere have praised this move, but YouTube’s users certainly won’t like it — if they did, wouldn’t [...]

  16. And an aspect not getting enough play is that this also creates a better monetization platform for the traditional media giants. I think it is their requirements that will drive the ultimate parameters of this platform.

  17. [...] YouTube to pay for User Generated Content, but only for uncopyrighted videos. We didn’t want to build a system that was motivated by monetary reward. We wanted to really build a true community around video. When you start out with giving money to people from day one, the people you do attract will just switch to who’s paying mo (tags: YouTube) [...]

  18. [...] YouTube Hears The Users Calling and Agrees To Finally Give Them Some Money » Publishing 2.0 Says: January 26th, 2007 at 10:17 pm [...]

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