M.G. Siegler • #streaming • Aug 20, 2026

YouTube and Netflix Head to War

The battle has been brewing, forcing creators to pick a side escalates...

🔗 YouTube Offers Creators Millions to Not Work With Netflix • Bloomberg

YouTube and Netflix have seemed like they were on a slow-motion collision course for years. Now things are speeding up. Here's Lucas Shaw:

YouTube is offering millions of dollars to popular channels if they upload their videos to the site exclusively for a certain period of time, in an effort to halt Netflix's pursuit of its biggest stars, according to people familiar with the conversations.

The payment would come in a couple of different forms. YouTube has discussed directly financing some programs, and it has also offered to allot a portion of major brand deals to creators. Though YouTube hasn’t finalized deals with any creators, it is close an agreement with several partners, said the people, who declined to be identified because the negotiations are sensitive and ongoing.

These are carrots. But there are also sticks:

Creators who do sign deals with Netflix face consequences, YouTube has said, according to the people. YouTube will be less likely to feature them in marketing campaigns or at events if they release videos on Netflix at the same time. YouTube would also exclude those creators from collecting a share of proceeds from some major brand campaigns.

Clearly, Netflix's various efforts to pick-off top YouTube talent to "take them pro' as it were, is pissing off YouTube. A number of other services from Facebook to Twitch to dozens of startups have tried to do this over the years, but these moves might seem to suggest that Netflix is getting some traction here.

Or that YouTube really doesn't want them to.

To me, a few things are going on here. First, YouTube made the jump from the computer to the couch and took over the living room. This clearly freaked out Netflix because not only did they overrun their home turf, they did so, fast. YouTube did something similar to the podcast industry and seemingly singlehandedly took video podcasts from a niche to arguably the most important element of the industry. Spotify, the former leader there – oh, Apple – had to respond, and did by partnering with Netflix. At the same time, both services started ramping their efforts in more "traditional" television like awards shows and yes, sports.

The latter has pretty much every player in tech fighting because it's obviously the most important element – the NFL in particular – when it comes to actual viewership and the all-important appointment – read: live – viewing. And that matters, of course, for ads. The area where YouTube, thanks in no small part to parent Google, dominates. But Netflix has been ramping here fast. And because they have more premium content, it's an easier sell straight from television in many ways.

So yeah, Netflix has been shifting towards YouTube just as YouTube is shifting towards Netflix. But the real prize for both is to be the one main hub for content. What's "UGC" and what's "professional" is blurring, fast. Both want it all because both want to be the UI that unites all content, including from partners.

It's a two-horse race. But lately, YouTube has seemingly been kicking Netflix's ass – I wrote about this just a month ago (with the url slug "netflix-vs-youtube"). Acquiring Warner Bros may have changed that narrative but, well... YouTube's Peacock deal was just salt in the wound.

So again, it's interesting that YouTube feels the need to respond here – with both carrots and sticks. I'm still waiting for Netflix to pull their next rabbit out of their hat – buying IMAX? Universal? Could they make another run at Warner Bros if the Paramount deal collapses under its own weight?

Anyway, killer picture of Neal Mohan here. Who looks like the Terminator. With a target.

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Previously, on Spyglass...