YouTube Launches Cheaper Premium Service, But There’s A Catch

YouTube Launches Cheaper Premium Service, But There's A Catch
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Summary

  • YouTube’s Premium Lite offers ad-free access to most videos for $7.99 in the US.
  • The new tier doesn’t include access to YouTube Music or ad-free music videos.
  • YouTube plans to expand Premium Lite to more territories, aiming to increase revenue opportunities.

YouTube has announced the expansion of its Premium Lite pilot to US territories. The new tier is more affordable than regular YouTube Premium, but it doesn’t remove all ads. YouTube also intends to roll out the service in other countries in the future.

As one of the most prominent streaming services available, YouTube Premium has continued to amass subscribers and earn the platform massive revenues. The biggest benefit that YouTube Premium offers users is ad-free access to all videos. In recent months, users have complained that ads have become more common on YouTube, with some reporting minutes-long unskippable ads. Moreover, YouTube has also clamped down on ad-blockers recently, a measure that has frustrated viewers. Now, YouTube has revealed a new Premium subscription tier at a lower price with fewer bonuses than the standard service.

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On March 5, YouTube revealed that it’s rolling out its Premium Lite pilot in the US for $7.99 a month, which allows users to watch “most videos” ad-free. According to YouTube’s chief product officer, Johanna Voolich, this will include videos related to gaming, beauty, news, podcasting, tutorials, and more “core creator content.” Unlike the standard YouTube Premium tier, though, Premium Lite doesn’t give users access to YouTube Music or ad-free music videos. The new tier won’t grant offline downloads or background play either. Additionally, ads will still show up with Premium Lite in Shorts, music content, or when searching and browsing. In 2024, YouTube earned a record $36 billion, and most of the earnings likely came from ads. It makes sense that the platform will come up with more ways to make ads profitable. It is worth noting that a standard YouTube Premium subscription costs a monthly US $13.99.

How Much Does a YouTube Lite Subscription Cost?

  • US $7.99 a month
  • Removes ads from “most videos,” including gaming, beauty, news, and more

YouTube confirmed that Premium Lite will be available in countries that have already tested the subscription pilot, like Thailand, Germany, and Australia, in the coming weeks. Moreover, YouTube will expand its Premium Lite pilot to more territories throughout 2025. The company added that YouTube Premium has reached over 125 million subscribers globally and that the expansion of Premium Lite will mean “additional revenue opportunities for our creators and partners.” A fair number of gaming creators have been leaving YouTube for other platforms like Twitch and Kick, but only time will tell if Premium Lite will help YouTube revive its popularity.

A more affordable subscription tier could be great news for users looking for more specific ad-free content. YouTube recently changed how ads work for non-subscribers as well, altering how they appear mid-videos. It will be interesting to see how YouTube addresses users’ feedback on Premium Lite in the months to come.

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