YouTube Hit $60 Billion in Revenue in 2025 — What This Means for Creators
Alphabet just revealed YouTube's full revenue for the first time ever: over $60 billion in 2025, making it bigger than Netflix. Here's the complete breakdown of where that money comes from, how much flows to creators, and what it means for your channel's growth strategy in 2026.
The Numbers at a Glance
In This Article
The Big News: YouTube's $60 Billion Year
On February 4, 2026, Alphabet released its Q4 2025 earnings report — and for the first time in the company's history, it broke out YouTube's total revenue including both advertising and subscriptions. The number: over $60 billion for full-year 2025.
Previously, Alphabet only disclosed YouTube's ad revenue in quarterly earnings. The subscription side — YouTube Premium, YouTube Music, YouTube TV, and NFL Sunday Ticket — was bundled into a broader “Google subscriptions, platforms, and devices” category. Now we see the full picture, and it's massive.
To put this in perspective: YouTube alone generated more revenue than any entertainment company in the world except Disney ($95.7 billion). It's bigger than Netflix, bigger than Spotify, and far bigger than TikTok.
Why this disclosure matters
- 1.First-ever full revenue disclosure — Alphabet had never combined ad + subscription revenue for YouTube before, making year-over-year comparisons tricky but the current scale undeniable.
- 2.Subscriptions are huge — The ~$20 billion subscription figure shows YouTube is a dual-engine business, not just an ad platform.
- 3.YouTube is now a media giant — At $60 billion, YouTube stands alongside the largest media companies in history.
YouTube's revenue trajectory from 2020 to 2025. Total revenue includes both ad sales and subscription services.
Revenue Breakdown: Ads vs. Subscriptions
YouTube's $60 billion came from two major streams: advertising and subscriptions. The split reveals an important strategic shift.
Advertising: $40.4 Billion
YouTube's ad revenue grew 11.7% year-over-year from $36.15 billion in 2024. Q4 2025 alone generated $11.38 billion in ad revenue — though this missed analyst estimates of $11.84 billion, suggesting that while growth continues, ad spending may be moderating.
Subscriptions: ~$20 Billion
The subscription side grew even faster than ads. This includes YouTube Premium, YouTube Music Premium, YouTube TV, and NFL Sunday Ticket. Alphabet reported 325 million paid subscribers across all Google services — up from 300 million just one quarter earlier.
Key insight: Subscriptions now represent roughly one-third of YouTube's total revenue. This is a significant shift from even 3 years ago when ads accounted for nearly 80% of revenue. For creators, this means Premium watch-time payouts are becoming an increasingly meaningful income stream.
YouTube vs. Netflix vs. The Competition
The $60 billion figure puts YouTube in a league of its own among digital entertainment platforms. Here's how it stacks up.
| Platform | 2025 Revenue | Business Model | Creator Payouts |
|---|---|---|---|
| YouTube | $60B+ | Ads + Subscriptions | 55% of ad revenue (long-form) |
| Netflix | $45.2B | Subscriptions + Ads | Licensed/commissioned content |
| Spotify | ~$16.9B | Subscriptions + Ads | Per-stream royalty model |
| TikTok (est.) | ~$14.5B | Ads + Commerce | Creator Fund + brand deals |
The comparison with Netflix is particularly notable. Netflix generates nearly all its revenue from subscriptions and spends billions licensing and producing content. YouTube generates revenue from both ads and subscriptions — while its content is created by millions of independent creators who share in the ad revenue. It's a fundamentally different and more scalable model.
What This Means for Creators
A $60 billion platform sounds great for creators — and it largely is. But the picture is more nuanced than the headline suggests. Here's what every creator should understand.
The Ad Revenue Pie Is Getting Bigger
With ad revenue growing 11.7% year-over-year to $40.4 billion, creators on the YouTube Partner Program have access to a larger revenue pool. At the standard 55/45 split for long-form content, that means roughly $22 billion was available for creator ad payouts in 2025 alone.
Creator takeaway: If your views or RPM have dropped, the issue isn't the platform shrinking — it's competition increasing. More creators are monetized, so the per-creator share depends on your content's performance.
Subscriptions Are YouTube's Fastest-Growing Segment
Subscription revenue (YouTube Premium, Music, TV, NFL Sunday Ticket) hit approximately $20 billion — nearly half the ad revenue. YouTube Premium revenue is shared with creators based on watch time from Premium members, creating a secondary income stream beyond ads.
Creator takeaway: Longer watch time on your content means a bigger share of Premium revenue. This is another reason why retention metrics matter so much.
TV Screens Are the New Growth Frontier
YouTube reported over 700 million hours of podcast content watched on TVs in a single month (October 2025), up 70% year over year. TV viewership is driving higher CPMs because living-room ads command premium rates from advertisers.
Creator takeaway: Creators making content that works on TV screens (clean visuals, clear audio, longer formats) can tap into higher-CPM inventory.
Shorts Are a Discovery Engine, Not a Revenue Engine
200 billion daily Shorts views is staggering, but the Shorts revenue model pays significantly less per view — creators report $30-$200 per million views on Shorts versus $2,000-$10,000+ per million on long-form. Shorts use a pooled ad model with a 45/55 split (YouTube keeps 55%).
Creator takeaway: Use Shorts strategically as a top-of-funnel tool to attract subscribers who then watch your monetized long-form content.
325 Million Paid Subscribers Signal Platform Stickiness
The jump from 300 million to 325 million paid subscribers in a single quarter shows that audiences are willing to pay for YouTube's ecosystem. These subscribers are more engaged, watch more, and generate Premium revenue for creators.
Creator takeaway: A more committed audience base means more opportunities for memberships, Super Chats, and recurring revenue beyond ads.
$100 Billion Paid to Creators Since 2021 — But Distribution Is Uneven
YouTube touted paying $100 billion to creators, artists, and media companies over the past four years. However, many creators have reported declining views and payouts. YouTube attributed part of the growth to a 45% year-over-year increase in channels earning over $100,000.
Creator takeaway: The platform is growing, but so is competition. Channels with clear niches and data-driven strategies capture more of the pie than those guessing at content ideas.
How YouTube Revenue Flows to Creators
Understanding the money flow helps you make strategic decisions about what content to create and where to focus your efforts.
Long-Form Content: 55/45 Split
For traditional videos, creators keep 55% of ad revenue. With $40.4 billion in total ad revenue, that's roughly $22 billion available for creators. However, this includes revenue from Shorts (which uses a different split) and ads on non-Partner content.
YouTube Shorts: 45/55 Split (Pooled Model)
Shorts revenue is pooled — ads between Shorts contribute to a shared revenue pool, and creators receive 45% based on their share of total Shorts views. The result: significantly lower per-view earnings ($30-$200 per 1M views vs. $2,000-$10,000+ for long-form).
YouTube Premium Revenue Share
Premium subscribers pay monthly fees to remove ads. A portion of their subscription is distributed to creators based on how much Premium watch time their content gets. With ~$20 billion in subscription revenue and 325 million subscribers, this is an increasingly significant stream.
Additional Revenue Streams
Beyond ad and Premium revenue, creators earn through channel memberships (YouTube keeps 30%), Super Chats, Super Stickers, Super Thanks, and merchandise integration. These streams aren't included in the $60 billion ad + subscription figure but represent meaningful income for engaged communities.
How to Capture More of This Growing Pie
YouTube's revenue growth means the opportunity is expanding. But with more creators than ever competing for attention, growth requires strategy, not just effort.
Target High-CPM Niches and Formats
Not all views are created equal. Finance, tech, business, and education niches command CPMs of $15-$35, while entertainment can sit under $3. Content optimized for TV screens also earns higher CPMs because living-room advertising is premium inventory.
Use Shorts for Discovery, Long-Form for Revenue
With 200 billion daily Shorts views, the discovery potential is enormous. But the revenue model favors long-form content. Smart creators use Shorts as trailers or teasers that funnel viewers to monetized long-form videos — channels using this strategy see 41% faster growth.
Analyze What's Already Working in Your Niche
With more creators competing for the same revenue pool, the difference between guessing and knowing what content works is enormous. Competitor analysis and outlier detection reveal which topics, formats, and styles are driving outsized results in your specific niche.
Build for Retention, Not Just Views
YouTube's algorithm now prioritizes viewer satisfaction over raw watch time. Videos with high retention earn more per view (better ad placement), get recommended more, and generate more Premium revenue. Focus on hooking viewers in the first 7 seconds and delivering on your title's promise.
Diversify Revenue Beyond Ads
The top-earning creators don't rely on AdSense alone. Channel memberships, brand sponsorships (projected $9.29 billion in US creator spend for 2025), merchandise, and digital products create multiple income streams that compound with audience growth.
Frequently Asked Questions
How much of YouTube's $60 billion goes to creators?
YouTube shares 55% of ad revenue with creators for long-form content and 45% for Shorts. Based on the $40.4 billion in ad revenue, approximately $22 billion was available for creator ad payouts in 2025. Additional revenue from YouTube Premium is also shared based on watch time.
Is YouTube bigger than Netflix now?
Yes. YouTube's $60 billion in 2025 revenue is 34% higher than Netflix's $45.2 billion. However, they have different business models — YouTube is primarily ad-supported with a growing subscription business, while Netflix is primarily subscription-based with a growing ad tier.
Why are some creators seeing lower payouts if YouTube is making more money?
More creators are joining the Partner Program and getting monetized, which means the ad revenue pool is split among more channels. Additionally, the shift toward Shorts (which pays less per view) and changes in advertiser spending patterns can affect individual payouts.
How does YouTube Shorts revenue compare to long-form?
Shorts pay significantly less per view. Creators report earning $30-$200 per million Shorts views versus $2,000-$10,000+ per million long-form views. Shorts use a pooled revenue model where YouTube keeps 55% and creators share 45%.
What does YouTube's $175-185 billion capex plan mean for creators?
Alphabet plans to spend $175-185 billion in capital expenditures in 2026, largely on AI infrastructure. For creators, this likely means more AI-powered tools for content creation, better recommendation algorithms, and improved monetization features.
How can small creators benefit from YouTube's growth?
Focus on niches with high CPMs, create content optimized for TV viewing (higher CPMs), use Shorts for discovery and long-form for monetization, and leverage competitor analysis to identify content opportunities that larger channels are missing. The platform is actively testing new creators — strong early metrics lead to algorithmic promotion.
The Bottom Line
YouTube's $60 billion revenue year confirms what creators already sense: the platform is the single most powerful distribution and monetization engine for video content. It's bigger than Netflix, growing faster than most competitors, and has paid creators over $100 billion in just four years.
But bigger doesn't automatically mean better for every individual creator. With more channels monetized and Shorts shifting the content mix, the creators who win are those who make strategic decisions — choosing the right topics, formats, and optimization strategies based on data rather than guesswork.
Key takeaways for creators:
- 1.The overall revenue pie is growing — $60B is up 17% year-over-year
- 2.Long-form content remains the primary revenue driver with 55% creator share
- 3.Shorts drive discovery (200B daily views) but pay far less per view
- 4.Premium subscriptions (325M paid users) create a growing secondary revenue stream
- 5.Competition is intensifying — data-driven content strategy is no longer optional
Turn YouTube's growth into your growth
OutlierKit helps you find the content strategies driving results in your niche. Analyze competitors, spot outlier videos, and make data-driven decisions about what to create next.
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