Revolt against Google

Titan Platform has established Titan U.S Corporation in Los Angeles to enter the American market,
Titan Platform has established Titan U.S Corporation in Los Angeles to enter the American market,

 

Digital content providers that started their businesses on YouTube are leaving the video streaming channel by setting up their own content distribution networks. This is because Google takes almost half of their advertising revenue while claiming exclusive ownership of their content. With their discontent simmering, expectations for the emergence of new video platform providers are on the rise. Korean online video platform providers have begun to discuss an adjustment of their advertising revenues with one another in this context.

At present, digital content creators are very dissatisfied with the revenue distribution policy of Google, which takes 45 percent of the ad revenue generated on YouTube channels. The same rule is used regardless of the size of the revenue, which has led to particularly severe discontent on the part of less popular channels with lower advertising rates.

Moreover, YouTube claims that the channels it supports should not share their content with platforms other than itself for one year from investment or until investment recovery. Although the clause has weakened since February last year, some types of content are still subject to the provision.

In the meantime, global information and communications technology companies such as Yahoo and Comcast are trying to attract dissatisfied YouTube customers by means of their own online video platforms. This signals a reshaping of the market.

A similar situation is found in Korea these days, too. Though the creators’ breakaway from YouTube is currently limited to the U.S. market, major video platform providers in Korea like Pandora TV, Afreeca TV, Gom TV, and Mgoon are looking to be prepared in advance by adopting a cost per click advertising model, unlike YouTube.

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