YouTube’s Shorts May Impact Its Core Video Business: Report

Google-owned video streaming platform YouTube is the second most visited website after Google Search. The brand introduced Shorts in beta mode in 2021, surpassing 6.5 billion daily views globally. However, as per the new report, it is revealed that the brand is internally concerned about YouTube Shorts disassembling the core long-form video business. 

According to the Financial Times, senior YouTube staff at current strategy meetings have discussed a risk they have seen in the face of shorts if the news is to be believed. In the meeting, they discussed the risk that long-form videos, which produce more revenue for the brand, are ‘dying out’ as a format. The internal data indicates that the creators are now more interested in making fewer long-form videos, known as Shorts, which is undoubtedly because of fulfilling the audience’s demand.  

Today, the audience is more interested in watching short and work times videos than long ones. This shift hardly impacts ad revenue, with longer videos permitting enough advertising and a higher click-through rate on adverts to e-commerce sites. The main reason for the problem is that the ad revenue of the platform that used to be there has been falling for the last three or four quarters, and it is decreasing. The site has also revealed cracking down on ad blockers. Meanwhile, YouTube Premium saw a price increase in the US. 

The latest data indicates an increment in YouTube Shorts usage from the 1.5 billion monthly logged-in users reported the previous year. In the second half of 2023, Google stated that YouTube through ad revenue generated $7.67 billion, a 4% increase compared to the previous year’s similar period. 



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Aakash Gour

Aakash is the main editor of RM Update and coordinator of the news area. If it is important and urgent, Aakash has written about it. He is an expert in the Android and Google ecosystem. He has been writing about mobile phones and technology in RM Update since 2019, a time in which he has been debugging his analyses and especially product photography.

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