Facebook said it would pay more than $1 billion to content creators on its social networks through 2022, a move that reflects the increasing value the company and its competitors see in the recorded videos, live-streams and other kinds of posts their users make.
In announcing the initiative Wednesday, Facebook joined its social network peers who have made big-dollar commitments over the past year to invest directly in people who are responsible for helping drive engagement among users. The billion-dollar total also reflects the bar set by pledges previously announced by Snap Inc.’s Snapchat, Google’s YouTube and Bytedance Ltd.’s TikTok.
Facebook said creators can receive payments for hitting certain milestones when using its products.The company also plans to provide seed funding to help creators cover content-production costs for its platforms. The programs will start on an invitation-only basis, Facebook said, without providing details such as timing or qualifications needed to participate.
It isn’t immediately clear yet, though, whether these bets will drive long-term loyalty among creators. People can build audiences on a variety of platforms, and the incentives being doled out to use them are fast-changing.
Savvy content creators have become a crucial part of the global social-networking landscape in recent years, helping platforms like TikTok and Amazon.com Inc.’s Twitch grow in popularity. Anyone can become a star overnight on these internet hubs, and the companies behind them are eager to appeal to the most popular creators to stand out from their rivals.