Platform Revenue Share Rates

Shaan Puri discusses the revenue sharing spectrum across different platforms, highlighting how traditional social media platforms historically gave creators no share of revenue, while newer platforms introduced increasingly favorable revenue splits.

Key Points:

  • Platform Revenue Share Breakdown:

    • Amazon Merchants: Keep 70% of value created
    • YouTube Content Creators: ~60-40 split of ad revenue
    • Twitch Streamers: Roughly 50% revenue share
    • Facebook/Instagram/Twitter (Traditional): 0% revenue share historically
  • Historical Context:

    • Traditional social platforms were multi-billion dollar companies
    • Users who created and consumed content got nothing
    • All value was captured by the platforms themselves
  • Evolution of Creator Economics:

    • Trend moving toward more favorable creator revenue shares
    • Platforms recognizing need to compensate content creators
    • Example: Twitter now paying creators for impressions (~$3,000/year mentioned)
  • Crypto's Potential Impact:

    • Could change revenue sharing dynamics
    • Potential to reward people who create value on networks
    • Allow users to capture more of the value they create
  • Key Observation:

    • Clear progression from 0% creator share to increasingly favorable splits
    • Movement toward more equitable value distribution between platforms and creators
    • Recognition of creator contribution to platform value
SP

Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

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