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Instagram Will Help Its Stars Make More Money, Taking on YouTube

  • Company to run ads on IGTV, let creators sell badges to fans
  • Instagram to give 55% of ad revenue to creators, like YouTube
Instagram’s IGTV service
Instagram’s IGTV serviceSource: Instagram

Instagram will let creators profit directly from their videos, helping popular users generate more revenue during the Covid-19 crisis, while moving into more direct competition with YouTube.

Starting next week, Instagram will show ads before clips that run on its IGTV service for longer-form videos. The company plans to share 55% of the revenue with creators, the same portion that YouTube gives its stars.