In a significant development, YouTube has announced a substantial payout exceeding $8 billion to the music industry over the 12-month period from July 2024 to July 2025. This milestone underscores the platform’s escalating role in the global music ecosystem.
Lyor Cohen, YouTube’s Global Head of Music, highlighted the achievement, stating, Today’s $8 billion payout is a testament to the fact that the twin engine of ads and subscriptions is firing on all cylinders. He emphasized that this figure represents meaningful, sustained progress in YouTube’s mission to establish a lasting home for artists, songwriters, and publishers worldwide.
This announcement was first made during Cohen’s address at Billboard Latin Music Week, marking a new record for YouTube. The platform’s annual contributions to the music industry have seen a consistent upward trajectory, increasing by $2 billion since 2022, when it reported a $6 billion payout between July 2021 and June 2022. In 2021, the figure stood at $4 billion for a similar period.
The timing of YouTube’s announcement coincides with Spotify’s earlier disclosure of a $10 billion payout to the music industry in 2024, up from $9 billion in 2023. It’s important to note that these payouts are distributed among various stakeholders, including artists, labels, publishers, and songwriters.
YouTube attributes its financial success to its dual revenue model, combining advertising and subscriptions. The platform boasts over 125 million Music and Premium subscribers globally, including those on trial periods. Additionally, it reports two billion logged-in viewers who watch music videos each month.
The company expressed optimism about its expanding global footprint, stating that this growth enhances opportunities for artists and songwriters to build enduring careers and cultivate dedicated fan bases on YouTube.
YouTube’s influence extends beyond financial contributions. In 2024, its creative ecosystem added over $55 billion to the U.S. GDP and supported more than 490,000 full-time jobs, according to research by Oxford Economics. This ecosystem encompasses not only content creators but also those who collaborate with them, such as video editors, assistants, and publicists.
The platform’s commitment to supporting the music industry is further evidenced by its recent initiatives. In February 2023, YouTube launched Creator Music, a marketplace offering a vast catalog of songs for creators to license, simplifying the process of incorporating music into their content. This initiative aims to address longstanding challenges related to music rights and monetization.
Moreover, YouTube has been proactive in adapting to industry trends. In August 2023, the company announced the Music AI Incubator, a program designed to explore the intersection of artificial intelligence and music. Collaborating with artists, songwriters, and producers, YouTube seeks to harness AI’s potential while safeguarding the integrity of creative works.
The platform’s financial growth is also noteworthy. In the second quarter of 2025, YouTube’s advertising revenue reached nearly $10 billion, marking a 13% year-over-year increase. This growth reflects the platform’s expanding influence in the streaming market and its ability to attract a diverse audience.
YouTube’s strategic initiatives and financial milestones underscore its commitment to fostering a sustainable and inclusive environment for the music industry. By continually evolving and adapting to the needs of creators and consumers alike, YouTube solidifies its position as a pivotal player in the global music landscape.
