According to the news report by Reuters, a year after the Facebook Inc. rolled out its original news, sports and entertainment content services Facebook Watch in the US, the social media giant has gone global. The target of this streaming service is to compete with Alphabet Inc.’s online video streaming division, YouTube.
The head of video at Facebook, Fidji Simo stated that Watch was gaining traction in a marketplace that was already crowded. This, she said, was because Watch was built on the concept that watching online videos could also be a social activity.
Simo told reporters that on a monthly basis in the United States, more than 50 million people were logging in to Facebook to watch videos for at least one minute on Watch. In fact, since the beginning of this year, the total amount of time spent by users watching videos on Facebook has gone up by 14 times.
The head of video also stated that the unique selling point of Watch was that users could have two-way conversations with their friends on Facebook about the videos they watched. They could even create their own content if they wanted. In fact, this platform has featured shows such as beauty notable Huda Kattan’s “Huda Boss” or even live “Major League Baseball” games.
Facebook also announced that original content creators could apply to have their videos released on Watch. Those eligible could even make money by using the feature’s Ad Breaks service. This is an automated advertising system that works on the Watch platform. Simo stated that their team has worked hard to ensure that the Ad Breaks experience is a good one for the Facebook community as well as their partners.
The revenue split from Ad Breaks will be 55% for the content creator and 45% for Facebook. Simo said that this was the ratio that was being applied in the US right now and would be the same one applied to all other countries too.
The Ad Breaks service is available in the US, Australia, Britain, Ireland and New Zealand. The company said that the Ad Breaks service would be available from August 30 in these countries and more countries would be added to the list in the near future.
Facebook has set down certain conditions for video creators to avail of the Ad Breaks service to make money. Firstly, the social media giant has stated that video creators need to have published a video with a minimum length of 3 minutes. Additionally, that video needs to have garnered at least 30,000 views in a period of 2 months and should have at least 10,000 followers. If a publisher meets these requirements, then they would be eligible to participate in the Ad Breaks service.
Simo said that Ad Breaks wasn’t going to be the only option for Facebook users to make money on their platform. She confirmed that the company was working on multiple options by which video creators could make money on Watch.
Some of the examples she gave were fan subscriptions (where fans could directly support their favorite creators by subscribing to their content) or even branded content. Simo stated that while a few creators already had the facility to offer subscription based videos to their fans, the company will also look at expanding the program to a larger user base very soon.
The challenge that the company is going to face is to increase awareness of this service. According to the report by Fortune, 50% of the social media platform’s adult users have not even heard of Watch.