YouTube is addressing misconceptions about its Shorts format as it reports significant growth in short-form content engagement and monetization. Shorts’ viewership increased 20% year-over-year in the first quarter of 2025, with approximately 70% of YouTube channels now uploading Shorts, per TheWrap.

As YouTube CEO Neal Mohan recently revealed at a conference hosted by MoffettNathanson, Shorts’ revenue per watch-hour now matches YouTube’s core business in multiple countries, including the United States. In some markets, Shorts’ monetization rate exceeds that of traditional YouTube content.

“It’s a testament to both the viewer side, but also the quality of the ad products that we build for our advertisers,” stated Mohan. YouTube has implemented a revenue-sharing model for Shorts, allowing creators to earn from ads displayed between videos in the Shorts feed.

Algorithm and Discovery Differ From Long-Form

Todd Sherman, Product Lead for YouTube Shorts, clarified in a “Creator Insider” episode that while the platform follows the “audience first” principle across all formats, the recommendation systems for Shorts and long-form content operate differently to accommodate unique viewing patterns.

“We do different things in short form because it is a different format,” Sherman explained. “On short form, people are swiping through a feed and discovering things as they go.” This fundamental difference influences how YouTube measures engagement and distributes content.

Sherman confirmed that the company hasn’t observed Shorts negatively impacting long-form performance. The platform does not factor in posting time when recommending Shorts or reward specific posting quantities.

Community Building Capabilities

Contrary to the myth that Shorts cannot foster community, YouTube highlights features like “reply with a Short” that bridge reach and community building.

“It’s going to be a great way for creators that make very short videos to engage with their audience,” Sherman noted. “Sometimes they may take that comment as creative direction for the next Short.”

The platform observes channels dedicated entirely to comment replies, demonstrating Shorts’ new role in creator-audience interaction.

Production and Content Strategy Clarifications

YouTube emphasizes that expensive equipment isn’t necessary to create successful Shorts. “Short form deliberately has a lower barrier so that people can participate more easily,” Sherman stated.

The company advises against deleting and reposting underperforming Shorts, warning that this may be flagged as spam. Instead, creators should “learn from it and move forward.” While trending sounds may increase discoverability, Sherman noted that original content can be equally successful.

Sherman addressed thumbnail customization, explaining that YouTube allows frame selection rather than custom thumbnails because “most thumbnails are never seen” as viewers primarily engage with content directly in the feed.

Looking ahead, YouTube plans to develop AI tools to help advertisers translate existing creative assets into the Shorts format, further integrating short-form content into creators’ overall content strategies.