On February 14, YouTube will celebrate its 20th anniversary. In retrospect, Valentine's Day was a fitting launch date, because the streaming-video behemoth has received a lot of love over the years.
An estimated 2.5 billion users — nearly half of all internet users worldwide — currently access YouTube every month. That's second only to Facebook, which attracts just over 3 billion.
The attraction is content. Lots of it. An estimated 500 hours of video are uploaded to YouTube every minute — that's 720,000 hours each day. The platform's billions of users watch billions of hours every day, generating many billions of views. And, of course, all that engagement generates billions in revenue. The primary source is advertising, with additional contributions from subscription offerings, including YouTube Music, ad-free YouTube Premium and YouTube TV, the streaming service that provides access to more than 100 broadcast and cable networks.
In the first quarter of 2024, YouTube reported $8.09 billion in revenue, a 21% year-over-year increase from the same period in 2023. In the second quarter, the amount rose to $8.66 billion, and to $8.92 billion in the third quarter. The company is on track to reap about $34–36 billion this year. To put this in perspective, when Google bought YouTube, which was founded by three former PayPal employees, in 2006 for $1.65 billion, some analysts called it a risky move. Now, YouTube earns about five times that amount each quarter.
While its economic might and endless infusion of content are well established, an intriguing trend in recent years has begun to reframe the way both users and the media industry think about YouTube: a significant uptick in viewing on televisions.
“It’s been incredible,” says head of product Kurt Wilms, who tracks user activity at a granular level. “It’s our fastest-growing screen.”
In fact, in the past three years, YouTube viewing on televisions has increased by 130%. That’s 150 million people in the United States who watch YouTube on televisions every month, and globally, users now consume more than a billion hours of its content on TV screens every day. The shift in viewer behavior is generally attributed to two developments — one driven by technology, one by a public health crisis.
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