5 Reasons Content Creators are Seeking Alternatives to Centralized Streaming Platforms

6 mins read

5 Reasons Content Creators are Seeking Alternatives to Centralized Streaming Platforms

Decentralization To the Rescue

Creating quality content requires a lot of dedication and hardwork. From the moment an idea is conceived through its production phase, and eventual release, a lot of logistics and planning go with it. If you factor in the physical and emotional stress involved, then you would expect creators to make enough money out of their content. Globally, content creators are increasingly wary of their beloved jobs. However, with little-to-no alternatives, they have learned to live with their pains.

TL;DR

  • Centralized streaming platforms dictate pay to creators, offering them rewards based on the standards they set
  • For creators, centralization means they have no control over their content as there are rules they have to abide by
  • Centralized infrastructures favor more established creators at the expense of up-and coming-creators

 

Serving the Privileged

Statistics show that the global video streaming industry was worth 419 billion in 2021, and is predicted to grow up to $932 billion come 2028 (just one decade!). As large as these figures are, they reflect the domineering stronghold of a few multinational streaming platforms, who keep close to half of this money for themselves.

Youtube alone made over $7 billion in revenue in Q4 2021 alone with a total of $28 billion in ad revenue for the year.  Amazon Prime surpassed this figure - earning about $31 billion in ad revenue - and a host of other platforms also posted huge returns. (Check out this link for some 2021 streaming stats.)

Surprisingly, Youtube declared that it paid out $30 billion to creators in the three years prior. This represents a third of the income it made within the same period. From all indications, the current infrastructure only serves the interest of the large corporations

Why Creators are Seeking Alternatives

Now you understand why creators are demanding more; however, profit is just the tip of the iceberg. Below are five reasons content creators want more out of the booming online content creation industry:

Not Profitable

This needs little explanation. Money is the main motivation why many content creators venture into the space in the first place. However, many creators struggle to make enough money to cover their production costs.

Most centralized streaming platforms have specific criteria and thresholds that creators must meet before they can even stand the chance to profit from their content. Once they fall below this line, their chances of profiting from their work are non-existent.

Still, we must admit that there are a handful of successful creators making sizable sums of money on existing platforms. Their number, however, is low compared to those who are struggling.

Centralization and Control

Streaming platforms are centralized, arranged, and structured, giving creators little room to take charge of the process. Platform algorithms determine what users see and how they see it. Upgrade policies, terms and conditions, and even monthly subscriptions fees are all dictated with creators left to settle for what they are given.

Platforms also lay the ground rules in terms of the terms and conditions of service and the rules of engagement on the platform.

Censorship

Nothing can be more painful for a creator than seeing your hard work flagged as inappropriate or unhealthy for consumption. Creators have no say in this instance as they have to forfeit their content and creative control. The standard for censorship and the laws to this effect are dictated by these centralized platforms.

Unlevel Playing Ground

Algorithmic optimization is yet another problem for centralized streaming outlets. Algorithms generally create the opportunity for established creators to dominate, creating an unfair content promotion ecosystem.

There is almost a guarantee for popular creators to occupy home screens of streaming platforms as opposed to up-and-coming creators. Their popularity creates an edge, whereas, young creators are left in unfavorable positions. 

This is yet another reason why many creators struggle to gain the needed attention on these platforms, a struggle that also translates into poor financial returns.

Intrusive Advertising

No doubt, ad revenue is the primary way that streaming platforms make money. However, the distribution and frequency of ads are becoming a major barrier to streaming. Most times, consumers are left with no option than to see ads as these ads cannot be bypassed. This usually affect their experience on centralized video streaming platforms. This usually constitutes a form of intrusion and disruption to the streaming service that a user enjoys. 

For creators, it means that their work is partitioned severly to accommodate advertising. They do not dictate and cannot complain about ads frequency, but are left to settle for whatever they are paid as revenue.

Conclusion

Content creators are left with fewer options than to find other alternatives to reaching their audiences as existing centralized streaming platforms continue to pose huge barriers to online streaming services. The solution definitely lies in a decentralized streaming infrastructure.

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