Jump to content

AdBlock Pressuring YouTube into a Paid Subscription Model


steven36

Recommended Posts

Why is YouTube, a company based around ads, implementing a paid subscription model for its users to avoid ads?

YouTube announced today a plan to introduce a paid subscription model to its users, offering music and ad-free videos to its users for a $10 subscription fee.

The move comes after more than a year of tossing the idea around inside the company, and the service is slated to launch on October 22nd. The $10 per month subscription fee will allow users to watch videos ad-free and download music for offline playback.

“We are progressing according to plan to provide fans more options in how they enjoy content on YouTube,” the company said in a recent statement.

YouTube must have some motivation behind this big move, especially after 10 years of commitment to the ad-supported service model. Perhaps it has something to do with the growing objection to forced advertising, with many users choosing to install ad-blocking software. As more and more users install browser plugins like AdBlock Plus, which prevent the advertisements from loading on webpages, Google loses money.

PageFair, a company that measures the cost of ad blocking, helping them display less intrusive ads, estimates that Google missed out on $6.6. billion in advertising revenue last year. Google pays AdBlock Plus around $25 million per year to get on the extension’s whitelist, which lets Google’s ads through for users with the default settings. It’s estimated that Google (NASDAQ: GOOG) has saved around $3.5 billion through this practice.

Of course, ad blockers present an even bigger problem for Google’s video platform YouTube, which relies on its content creators to bring content consumers to the website. If content consumers use ad blockers, it reduces revenue for YouTube, which in turn reduces the paychecks they can send to the creators. If YouTube loses its content creators, it could lose even more viewers.

Which is why the company is making its first real push away from advertising. As users find ways around the ads that pay for their content, Google needs to find other ways to make its money.

For now, it’s a question of whether or not users will be willing to shell out $10 a month for the extra perks of being a YouTube subscriber, or if they will just download ad blockers like they have in the past.

Source
Link to comment
Share on other sites


  • Replies 12
  • Views 1.9k
  • Created
  • Last Reply

I dont like this Ill use a adblocker. I saw this yesterday and didnt like what I saw. I hope this doesnt work out and somehow fails.

Link to comment
Share on other sites


What I wonder in all cases when sites have a paid model there free model suffers quality the free user ends up suffering you take hulu , spotify and others that do this in order to get high quality bitrates you have to pay this would increase piracy a lot if YouTube done this.

Link to comment
Share on other sites


...

YouTube announced today a plan to introduce a paid subscription model to its users, offering music and ad-free videos to its users for a $10 subscription fee.

...

what is this then? the future? :P

BwC0qiY.png

Link to comment
Share on other sites


...

YouTube announced today a plan to introduce a paid subscription model to its users, offering music and ad-free videos to its users for a $10 subscription fee.

...

what is this then? the future? :P

BwC0qiY.png

Paid channels have been around awhile this is to get stuff they dont offer for free but starting October 22nd they will offer a paid no ads version of YouTube for the whole site. Also Google has another site were you can buy music already

https://play.google.com/store/music?hl=en

that screen says Google play

Link to comment
Share on other sites


This explain it better about Music key vs no ads version

YouTube, which spent the first 10 years of its life as a free service, is getting ready to start selling tickets.

Google’s video site appears to be finalizing launch plans for its long-in-the-making subscription service, and industry sources say they’ve been told to expect a launch near the end of October.
A blast email from YouTube to content owners, telling them they have to agree to new terms by Oct. 22 or their “videos will no longer be available for public display or monetization in the United States,” helps support that timeline.

But YouTube, which floated the idea of a new subscription service nearly a year ago, has never publicly committed to a timeline. Last spring, YouTube executives were telling content owners they were aiming for a mid-summer launch. It’s possible the launch could keep slipping, even beyond 2015.

Note that we’re referring to a single service, not multiple ones. Sources say that’s because YouTube intends to bundle two different services into one offering: An update of its music service, which it launched in beta as YouTube Music Key last fall, and another service, yet to launch, that will give users the ability to watch anything on YouTube without seeing ads.

Video industry sources say Google has told them it intends to charge $10 a month for the combined offering. It’s hard to imagine how YouTube will make money at that pricing, since its music service was supposed to cost $10 on its own, with the music labels and other copyright owners pocketing the majority of that.

A YouTube rep declined to comment beyond an amended version of a statement the company has offered in the past: “We are progressing according to plan to provide fans more options in how they enjoy content on YouTube. We have support from the overwhelming majority of our partners, with over 95 percent of YouTube watch-time covered by agreements, and more in the pipeline about to close.​” In July, when the company offered up a similar statement, it said it had signed up content owners that represented more than 90 percent of YouTube viewing.

Here’s the text of the email YouTube sent content owners yesterday asking them to agree to new license terms:

For years, YouTube’s fans have been telling us they want more — more choice when watching their favorite content, more ways to support their favorite creators and, above all, the option to watch their favorite videos uninterrupted.

To give fans more choice we will be launching a new ads-free version of YouTube, available to fans for a monthly fee. This service will create a new source of revenue over time that supplements your advertising revenue. That’s why an overwhelming majority of our partners — representing over 95% of YouTube watchtime — have asked for and signed up for this service.
As you heard in our previous emails, we want to ensure that fans who choose to pay for an ads-free experience can watch all the same videos that are available on the ads-supported experience. That’s why we’re asking you to update your agreement to reflect the updated terms for the ads-free service.

To accept, simply log into YouTube.com as “pakafka” from a desktop or laptop and follow the prompts by October 22nd.

If you haven’t signed by that date, your videos will no longer be available for public display or monetization in the United States. That outcome would be a loss for YouTube, a loss for the thriving presence you’ve built on the platform, and above all, a loss for your fans. We remain committed to working with you, as we always have. And of course, at any time, you can accept the updated terms which will make your videos public and monetizable again. Common FAQs can be found here.

We believe these new terms will greatly strengthen our partnership for the future. We went through a similar process three years ago when we began distributing and monetizing your content on mobile devices. Today, mobile represents over half of all watchtime and mobile revenue is up 2x in just the last year. Just as with mobile, we’re confident this latest update will excite your fans and generate a previously untapped, additional source of revenue for you.

If you have questions or encounter technical difficulties, we’re here to help: reach out to us for support here.
The YouTube Team

http://recode.net/2015/09/25/youtube-is-prepping-its-subscription-launch-two-services-one-price/
Link to comment
Share on other sites


I really haven't seen anything on youtube worth paying for. And $10 month would be far better spent on NetFlix

well put it this way, it's kinda like Wikipedia in a sense that we just take for granted. individual videos mean absolutely nothing. but as a whole, that's a lot of media to riffle through ;_; which gives it that added value of 21st century accessibility to online media which ranges in a variety of topics/genres.

once they add a content wall, the internet will be a less interesting place :sadbye:

Link to comment
Share on other sites


I was actually hoping Youtube had started charging money to watch any video. Disappointed.

Not that I would have paid anything either way.

Link to comment
Share on other sites


...

Also Google has another site were you can buy music already

https://play.google.com/store/music?hl=en

that screen says Google play

i know about this... it's the place where where i've got my YouTube Music Key to my surprise... i thought it would be valid on Google Play Music only but they extended it to YouTube too (maybe other places i haven't looked yet also)


if they start charging as a must then there will be loads of alternatives spawning all over the web... not that there aren't any atm.

Link to comment
Share on other sites


i know about this... it's the place where where i've got my YouTube Music Key to my surprise... i thought it would be valid on Google Play Music only but they extended it to YouTube too (maybe other places i haven't looked yet also)


if they start charging as a must then there will be loads of alternatives spawning all over the web... not that there aren't any atm.

Same as always there is piracy itunes . mp3 and Flacs also there is internet radio . And better movie and tv shows videos can be found from piracy. They would have to be no piracy for me to pay for a streaming service . :P :pirate:

Link to comment
Share on other sites


Archived

This topic is now archived and is closed to further replies.

  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...