According to The New York Times, more than one-third of the two billion views of YouTube videos with ads each week are uploaded without the copyright owner’s permission but left up by the owner’s choice.
They are automatically recognized by YouTube, using a system called Content ID that scans videos and compares them to material provided by copyright owners. When someone uploaded a recording of the Eminem song “Not Afraid,” for instance, instead of taking down the recording, YouTube ran pop-up ads that let people buy the song or the ring tone and shared the revenue with the copyright owner.
YouTube shares advertising revenue with content partners, who may be big entertainment companies like Lions Gate or amateur videographers who have developed a following. Hundreds of these partners make more than $100,000 a year. Some, like Sal Khan, a former hedge fund manager who now makes math and science education videos, have quit their day jobs.