YouTube has updated the partner program terms today.YouTube plans to roll out a subscription-based
version that will let users watch videos without ads. Google informed video partners, including
Business Insider, about the change today.

These changes go into effect from June 15, 2015.

The subscription system is that viewers will subscribe to youtube with monthly fee of $10 per
month. Google will keep about 45% of the subscription revenue and allocate the rest to partners
based on how much time people spend watching their channels. If video creators don’t agree to the
new terms, they can either choose not to make any money from YouTube at all (including from
advertising), or they can set their videos to private, where nobody will see them. If they want to
make money from YouTube, they must sign the new partner agreement, and all videos will be included
in both the free ad-supported version and the subscription version.

YouTube changed partner terms


Here is the YouTube letter:

Dear YouTube Partner,Your fans want choices. Not only do they want to watch what they want, whenever they want, anywhere, and on any device they choose, they want YouTube features built specifically with their needs in mind. Over the past several months, we’ve taken bold new steps to bring these experiences to life. Since inviting hundreds of thousands of fans into our YouTube Music Key Beta, we’ve seen tremendous engagement. And we’ve seen an equally enthusiastic response for our new YouTube Kids app, designed to give families a simpler and safer video-viewing experience— it’s already crossed 2 million installations in less than one month.

We’re excited to build on this momentum by taking another big step in favor of choice: offering fans an ads-free version of YouTube for a monthly fee. By creating a new paid offering, we’ll generate a new source of revenue that will supplement your fast growing advertising revenue.

So what’s next?

Launching a new paid offering will require us to update your terms through your Creator Studio Dashboard—a process that should feel familiar to anyone who 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 200% in the last year. Just as with mobile, we’re confident this latest contract update will excite your fans and generate a previously untapped, additional source of revenue for you. Please look out for our notification, review it and let us know your thoughts.

It’s an exciting year for YouTube, as we push ourselves into uncharted territories. But we continue to be guided by a desire to deliver the choices fans want and the revenue you need. By working closely with you, we know it’ll be a successful journey.

The YouTube Team

Share your thoughts on this change in comments.