‘Netflix won’t be the largest streaming service for much longer’

YouTube overtakes Netflix in terms of revenue to become the largest video streaming service. YouTube has long had the most users, but is now also seeing a significant increase in its advertising revenue. If that trend continues, YouTube will catch up with its competitor next year.

Netflix and YouTube

Netflix and YouTube are two streaming services with completely different strategies and revenue models. YouTube mainly relies on content created by its users, which is why it has had the most users for years. Although it was Netflix that earned the most thanks to subscribers who pay monthly for the streaming service.

That balance of power threatens to change, because it is expected that YouTube will soon earn more than Netflix, according to Bloomberg. In the second quarter of 2021, revenues increased by 84 percent compared to a year earlier. YouTube earned about 5.9 billion or almost twice as much as in the same period in 2019, the time before the corona pandemic.

Rising ad revenue

YouTube doesn’t rely on its YouTube Premium subscription for its revenue, but mainly from its advertising revenue. With concerts and events worldwide being canceled as a result of the pandemic, YouTube has become even more than before the place to see the great artists live. Netflix also saw its monthly subscribers increase at the same time, but that extra income cannot match the rise of YouTube.

If this trend continues, YouTube will be the largest streaming service next year. At the same time, the platform is also looking for ways to generate additional income with its paid subscriptions. In the Netherlands and Belgium, it is currently testing its YouTube Premium Lite subscription, which is a cheaper formula that only removes ads in exchange for a monthly fee. Which streaming service do you spend the most time on? Let us know in the comments at the bottom of this article.