Google-owned streaming video service YouTube is readying plans to launch a new premium subscription offering that offers mostly ad-free access to content.
The plan, called YouTube Premium Lite, will allow users to stream most uploaded videos without commercial interruptions, though ads will still be present in music videos and within search and discovery pages.
Bloomberg was the first to report on the forthcoming launch of YouTube Premium Lite. The financial news outlet didn’t reveal a price for the service, but limited tests with some users in Australia suggest it will cost half of what YouTube Premium currently goes for, which is $14 per month.
YouTube Premium offers ad-free streaming across all content — except for ad reads that some YouTube creators edit into their videos, though YouTube users can skip those with enhanced features — as well as offline video downloads and access to YouTube Music.
YouTube Premium Lite won’t include any of those features, but will be primarily targeted to users who watch non-music video content and who might be willing to pay more for uninterrupted access.
The new YouTube Premium Lite tier is expected to be offered in the United States, Germany, Australia and Thailand, Bloomberg said. A YouTube spokesperson largely confirmed that a lower-priced premium tier is in development.
“As part of our commitment to provide our users with more choice and flexibility, we’ve been testing a new YouTube Premium offering with most videos ad-free in several of our markets,” the spokesperson said. “We’re hoping to expand this offering to even more users in the future with our partners’ support.”
YouTube is heavily reliant upon advertising income, with parent company Alphabet revealing the streaming brand took in $10.47 billion across its products during the fourth quarter (Q4) of 2024. Much of that advertising income is believed to come from YouTube itself, though the company also offers inventory against content on YouTube Music and channels available through YouTube TV.
The company does not reveal specific revenue for YouTube Premium subscriptions, instead choosing to count that income as part of Google’s overall subscription business. Google earned $11.633 billion from its subscription businesses, which includes Google One, YouTube TV, various enterprise products and sales of NFL Sunday Ticket.
