Facebook earns nearly 98% of its revenue from advertising, and retains 45% of ad revenue earned by creators
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Some Facebook users will now be able to make money from their short video posts, provided their viewers watch an ad after 30 seconds into the video.
The social network had earlier permitted monetisation through in-stream ads on videos longer than three minutes, when ads will be flashed after the video runs 60 seconds.
Ads on videos longer than three minutes can now display ads at the 45-second mark, the company said in a statement.
Facebook launched in-stream ads in 2017, allowing creators to earn from videos in the Watch section, including on-demand and live videos. The move was said to help creators boost visibility and enhance engagement. In-stream ads payout grew more than 55% from 2019 to 2020, according to Facebook.
Only users over 18 years of age, with over 10,000 followers, and having 600,000 total minutes viewed from any combination of video uploads are eligible for monetisation. Additionally, they must have five or more active video uploads or live videos, Facebook stated.
The move to promote short videos is an seen as an attempt to popularise Instagram Reels, Facebook’s version of rival TikTok. Recently, Facebook said it is testing a feature to allow users to post Reels to their Facebook profiles. It also said some of its users can earn money through sticker ads on Facebook Stories. Facebook earns nearly 98% of its revenue from advertising, and retains 45% of ad revenue earned by creators.