(qlmbusinessnews.com . Sat 7th Feb, 2026) London, UK —
Google Announces YouTube's Record-Breaking $60bn Earnings, Signaling Subscription Growth
Google has unveiled that YouTube's revenue exceeded $60bn (£44bn) in 2025, as the tech giant focuses on attracting more subscribers. This financial accomplishment, stemming from advertising income and paid subscriptions on the platform, distinctly overshadows the revenue of its rival, Netflix, which tallied at $45bn.
For the first time since its acquisition in 2006, Google has disclosed YouTube's annual revenue, marking a significant moment for the company. Hanna Kahlert, a Senior Analyst at Midia Research, wasn't taken aback by the announcement despite its magnitude. She remarked on the platform's foundational role in the digital lives of many, noting, “YouTube is one of – if not the – most-used of all digital offerings, with over 70% of international consumers using it weekly, and over 50% daily,” referencing Midia consumer survey data in her discussion with the Reporters.
According to Kahlert, YouTube's diverse revenue generation strategies, from advertising to offering a paid subscription that eliminates ads, enable it to fully exploit its vast user base.
Despite a slight dip in global ad revenue in the last quarter of 2025, falling short of expectations at $11.38bn (£8.37bn), Sundar Pichai, Google's CEO, underscored YouTube's integral role in what he described as a “fantastic year” for the company. Pichai highlighted the contribution of YouTube Premium, a service that removes ads from videos and music, to the significant increase in paid subscriptions across Google's consumer services, surpassing 325 million in 2025. The precise number of YouTube's own subscribers, however, remains undisclosed.
Philipp Schindler, Google's Chief Business Officer, conveyed to investors the “strong traction” YouTube subscriptions were gaining, emphasizing the platform's innovation in response to consumer needs with new, more affordable YouTube TV and Premium tiers. Efforts to boost subscription numbers include exclusive features for Premium users, such as background video play on mobile devices.
Moreover, YouTube’s venture into short-form video content, dubbed ‘Shorts’, mimicking TikTok’s style, has seen over 200 billion daily views, contributing to its broadening appeal.
As YouTube celebrated its 20th anniversary last year, it emerged as the second most-watched media service in the UK, trailing only behind the Reporters, revealed by Ofcom. A staggering 94% of UK adult internet users engage with the platform, dedicating an average of 51 minutes daily. The UK’s public service broadcaster even announced plans to produce shows for YouTube, underscoring its significant influence.
While YouTube's 2025 revenue surpasses that of Netflix, Forrester analyst Mike Proulx noted that comparing the two isn't straightforward due to the predominance of user-generated content on YouTube versus the professionally produced content on Netflix. However, Proulx acknowledged the increasingly blurred lines between such platforms, with new partnerships and initiatives expanding the scope of what YouTube offers, including hosting the Oscars from 2029.
Netflix’s head, Ted Sarandos, in a recent Senate hearing on the company's acquisition strategies, exclaimed, “YouTube is not just cat videos anymore — YouTube is TV.” This comes as Netflix and other platforms strive to enrich their content by partnering with popular YouTube creators, amidst concerns over the impact of AI on content discovery and traffic.
Google's involvement with AI, particularly AI-generated search result summaries, has sparked concerns among content creators regarding potential declines in viewer traffic. These concerns have led to investigations by the European Commission and proposals from the UK's market regulator to provide publishers more control over how their content is summarized by AI.
In response, Google has committed to investing further in AI technologies, echoing the sentiments of other tech industry leaders about the significance of these developments in the coming years.
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