Elon Musk Announces Sharing Of Revenue With Creators

In recent news, Elon Musk has announced the next step that the micro-blogging website Twitter will be taking for its creator monetization push campaign.

However, there are various important considerations to take in mind with respect to the new revenue share option introduced by the CEO of Tesla.

Elon explained that in the near future, Twitter will be sharing its generated revenue with all the creators on the platform, who show ads in tweet replies.

As a result, creators will be able to use this as another way to generate income from their presence on the website. However, people are not convinced about the new direction.

First of all, Elon revealed that this option could only be availed by people who are Twitter Blue subscribers or have gifted verification.

This means that the new campaign will be in line with their greater verification strategy. But people are still questioning the verification elements, which require some money and a phone number.

On the other hand, the CEO of Tesla has specified that ads sent within the responses of verified users will be counted towards the new revenue pool. Consequently, it will be shared with all the creators on the platform.

Where the implementation of Twitter Blue is concerned, an important concern has been how committed Elon is to halve the exposure of paying subscribers from ads.

As a result, the bottom line of the micro-blogging website will be heavily impacted.

Previously, it was revealed that the average revenue per user of the platform was $12 every quarter. A significant chunk of that income, in addition, used to be from ad exposure.

But with the platform cutting down on ad exposure by 50%, Twitter Blue subscribers will only be able to generate $6 per user revenue in every quarter. But this will only be through ad exposure.

However, the micro-blogging website, especially under its new CEO, has gone on to water down this decline in revenue generated from ad exposure.

Back in the month of April, an announcement from Twitter revealed that Blue subscribers will be seeing at least 50% fewer ads than before.

Based on several estimates made by experts, which include both monthly payments and declining ad exposure, Twitter is pulling in no less than $30 per user on the platform every quarter.

As of now, Twitter Blue has more than 700,000 subscribers. When multiplied with the income generated via ad revenue, the micro-blogging website is successfully pulling in nearly $21 million each quarter.

It has further been explained that a high percentage of ad exposure is coming in via the main feed, while the majority of the people thought that it would be because of replies.

According to the new plan, some users will be able to generate a higher revenue based only on the number of responses they receive.

This will allow the website to show ads in-stream, thus generating a higher share of revenue. But the payments will not be significant and not enough to cover the cost of a Blue subscription on Twitter.