By going pro, YouTube risks alienating its amateur core

YouTube has bigger fish to fry.

No longer is YouTube just about viral memes and videos of people hurting themselves. The business model of online video is evolving and so too are the site’s priorities.

In October 2011, YouTube embarked on a campaign to attract more professional-grade content to the site, dolling out over $150million in cash advances to professional video creators offering slicker material with higher production value.

With this has come an influx of celebrity. Global superstars Madonna, Ashton Kutcher and Jaz-Z have all been drafted in to host YouTube channels, whilst Hollywood stalwart Tom Hanks is currently working on his own YouTube project.

However, such sweeping changes have left one group out in the cold: the legions of amateur video producers who helped transform the site into the entertainment colossus it is today.

YouTube has made several changes throughout the year that have pulled the rug from underneath the feet of its amateur core. One such change involved forcing users into adopting a more streamlined layout on their channels by slashing the number of customisation options available to them.

Tensions climaxed earlier this year when YouTube made significant changes to the algorithm used to decide how clips were recommended to viewers. Thousands of amateur producers protested that the move favoured longer, more professionally-produced material uploaded by high-profile channels, relegating their own content to the YouTube wilderness. 

Unfortunately for these users, these moves are symptomatic of a site maturing in line with digital entertainment’s changing ecosystem. In the US market, the projected revenue from digital advertising is expected to balloon from $2.4 billion this year to a whopping $7.1 billion in 2015, when 40% of the US are predicted to regularly watch TV online, according to e-marketer.

Such game-changing statistics demand an improvement in the service YouTube offers. With the rise of digital streaming services such as Netflix and an increasing number of users opening Vimeo accounts, YouTube needs to remain competitive. Ultimately, the sweeping transformation from user-generated content to professional programming could even aid the site in its quest to become the next-generation TV provider.

“Our big advertisers like the path that YouTube has taken”, says Andy Chapman, head of digital investment at Mindshare, a prominent American advertising agency.

“A number of clients say this looks and feels like the direction the market is going”

But in adapting to the evolving landscape of the video entertainment industry, YouTube runs the risk of alienating the creative, entrepreneurial lifeblood that fostered its rise. The site is seemingly forgetting its roots, but that’s business I guess.

Photo: Reuters

Alex Ward is a London-based freelance journalist who has previously worked for the Times & the Press Association. Twitter: @alexward3000

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How Theresa May laid a trap for herself on the immigration target

When Home Secretary, she insisted on keeping foreign students in the figures – causing a headache for herself today.

When Home Secretary, Theresa May insisted that foreign students should continue to be counted in the overall immigration figures. Some cabinet colleagues, including then Business Secretary Vince Cable and Chancellor George Osborne wanted to reverse this. It was economically illiterate. Current ministers, like the Foreign Secretary Boris Johnson, Chancellor Philip Hammond and Home Secretary Amber Rudd, also want foreign students exempted from the total.

David Cameron’s government aimed to cut immigration figures – including overseas students in that aim meant trying to limit one of the UK’s crucial financial resources. They are worth £25bn to the UK economy, and their fees make up 14 per cent of total university income. And the impact is not just financial – welcoming foreign students is diplomatically and culturally key to Britain’s reputation and its relationship with the rest of the world too. Even more important now Brexit is on its way.

But they stayed in the figures – a situation that, along with counterproductive visa restrictions also introduced by May’s old department, put a lot of foreign students off studying here. For example, there has been a 44 per cent decrease in the number of Indian students coming to Britain to study in the last five years.

Now May’s stubbornness on the migration figures appears to have caught up with her. The Times has revealed that the Prime Minister is ready to “soften her longstanding opposition to taking foreign students out of immigration totals”. It reports that she will offer to change the way the numbers are calculated.

Why the u-turn? No 10 says the concession is to ensure the Higher and Research Bill, key university legislation, can pass due to a Lords amendment urging the government not to count students as “long-term migrants” for “public policy purposes”.

But it will also be a factor in May’s manifesto pledge (and continuation of Cameron’s promise) to cut immigration to the “tens of thousands”. Until today, ministers had been unclear about whether this would be in the manifesto.

Now her u-turn on student figures is being seized upon by opposition parties as “massaging” the migration figures to meet her target. An accusation for which May only has herself, and her steadfast politicising of immigration, to blame.

Anoosh Chakelian is senior writer at the New Statesman.

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