According to latest reports from Bloomberg, Instagram has announced that it will be sharing 55 per cent of the revenue with the creators, that it generates through ads on their IGTV. This is same as what Youtube offers to its creators.

This is being done to make Instagram come in direct competition with many other platforms like Youtube, Tiktok and more. IGTV has so far lagged behind Youtube creation because of the non monetization factor.

This is the first time Instagram is giving it’s profits directly to the creators, thus letting to more IGTV creations.

While the date for the world wide launch is still awaited, instagram will launch this feature for a select set of creators and advertisers in the US in June. It will slowly then release it to the other areas as well.

As per Bloomberg, instagram is said to be mimicking the youtube revenue sharing model, giving it’s creators 55 per cent of the share. This will surely see more creators using this long form platform, that is still finding hard to compete with YouTube.

Apart from trying out IGTV ads, Instagram also will be seen adding the user’s ability to gift badges to creators during the instagram live videos. These badges would be like a monetary tip, something similar to apps like Twitch.

Experts feel that by introducing Ads and revenue sharing with the creators directly, instead of them opting for third party partnerships and sponsored content, Instagram aims at holding back creators.

The Facebook owned platform has seen creator’s diversion towards more monetarily beneficial platforms like Youtube and Tiktok.

Instagram’s long video format was launched in 2018, but still hasn’t found much love. Even in the wake of corona pandemic, the live videos saw a great surge, but this format was still unloved.

Instagram also added IGTV to its explore list to enable users to see selected IGTV videos of different genres, trying to promote them even more. Industry experts strongly feel that this move by Instagram may regenerate love for this photo and video sharing app amongst the creators across the globe.

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