According to recent sources, Twitter has decided to take on YouTube as a competitor, as the company has revealed plans to finance users who create video content for the social media platform.

Just how does one make money by making online videos?

Websites like YouTube make their money putting advertisements alongside a video, normally airing a video ad before a user can watch a video they selected, and offer a percentage of the ad revenue to the creator of the original video.However, Twitter intends to offer a significant boost to their new potential video creators. Unlike YouTube, however, in which people receive around 55% of the ad revenue generated from their videos, keeping the rest for themselves, Twitter will actually offer 70% to go to the content creators, taking the remaining 30% for themselves.

It has been suggested, however, that such a large percentage has become quite the necessity for Twitter to start such a program and get potential workers interested, as websites like YouTube and even Facebook have already become powerhouses in the viral video market, and it will be hard to become serious competition this late in the game.

A look inside Twitter’s plans for viral promotion

According to reports, the company is not exactly a novice when it comes sharing ad revenue with original content creators, as Twitter already offers similar practices to premium content creators, such as the NFL, but this is meant to be the biggest foray into viral videos.The ad revenue split will also only apply to videos produced for Twitter itself directly, and not for websites that Twitter even owns, such as Vine and Periscope.

That said, there is speculation that said websites may plan to create similar ad revenue practices in the future. Added to that, users are allowed to repost videos created for Twitter on other websites.

The program will open on Tuesday, but only American users will be able to take advantage of the practice.

It is unknown at the time if Twitter will eventually expand the program for users in other countries to use. Added to that, Twitter reportedly will not offer money as an incentive to create videos, as money will be paid after ad revenue is collected.

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