What is YouTube? Definition, history and how it works

YouTube is a video sharing platform owned by Google, where users watch, upload and comment on long videos, Shorts and live streams. According to DataReportal, YouTube’s ads reached 2.53 billion people in January 2025, which equals 30.9% of the world’s population. For marketers, YouTube is both the largest video ad network outside China and a search engine whose results also appear in Google.

Updated: 17 October 20263 min read
Infographic: YouTube in numbers, 2.53 billion ad reach, 30.9% of world population, 27.1 million in Poland, over 60 billion USD revenue
Source: DataReportal 2025 and Digital 2026: Poland, Alphabet Q4 2025

How does YouTube work?

YouTube works by recommending videos to each viewer based on what they watch, search and engage with. Creators upload videos to a channel, add a title, description, chapters and a thumbnail, and YouTube then shows the video in search results, on the Home feed, next to other videos and in the Shorts feed. Viewers can watch for free with ads or pay for YouTube Premium to remove them.

The platform has three main content formats:

  • Long-form videos: classic horizontal videos with no practical length limit for verified channels.
  • Shorts: vertical videos for a swipeable feed, launched globally in beta on 13 July 2021.
  • Live streams: real-time broadcasts with chat, often saved as regular videos afterwards.

History of YouTube: key dates

YouTube started as a small startup founded by three former PayPal employees and became one of Google’s biggest businesses.

DateEvent
14 February 2005Chad Hurley, Steve Chen and Jawed Karim found YouTube
23 April 2005The first video, “Me at the zoo”, is uploaded
13 November 2006Google completes the purchase of YouTube for 1.65 billion USD
16 February 2023Neal Mohan replaces Susan Wojcicki as CEO
4 February 2026Alphabet reports YouTube revenue above 60 billion USD for 2025

YouTube is headquartered in San Bruno, California. Its Q4 2025 ad revenue alone was 11.38 billion USD, up 8.7% year on year, according to Alphabet’s results.

YouTube users in numbers

YouTube reaches almost one in three people on Earth with its ads. DataReportal’s January 2025 data shows 2.53 billion users in ad reach, with men making up 54% of that audience. The largest markets are India (491 million), the United States (253 million) and Brazil (144 million). In Poland, the Digital 2026 report counts 27.1 million people reachable with YouTube ads, which is 79.4% of Polish internet users and more than any other social platform in the country.

Shorts drive much of the recent growth. At Cannes Lions in June 2025, CEO Neal Mohan said Shorts average 200 billion daily views, although YouTube counts every feed impression as a view.

YouTube in marketing, SEO and AI search

YouTube matters to marketers because it combines a search engine, a social network and an ad network in one place. The sections below cover each angle.

YouTube SEO

YouTube SEO means optimising titles, descriptions, chapters, captions and thumbnails so videos rank in YouTube search and in Google’s video results. YouTube is a search engine in its own right, and in my projects I research YouTube keywords separately for every country, because “how to” queries are phrased differently in each language.

YouTube ads

YouTube ads are bought in Google Ads. Google lists these video formats:

  • Skippable in-stream ads: viewers can skip after 5 seconds.
  • Non-skippable in-stream ads: 15 to 60 seconds, depending on campaign subtype.
  • Bumper ads: non-skippable, up to 6 seconds.
  • In-feed ads: a thumbnail in search results and the Home feed, charged on click or on a 10-second view.
  • Shorts ads: shown between organic Shorts.
  • Masthead: a reservation-only placement at the top of the Home feed.

Video campaigns also run inside Performance Max, and YouTube viewers make a strong remarketing audience. I set these up as part of Google Ads management.

YouTube and AI search

Google owns YouTube, so its videos often appear in AI Overviews and other AI answers for tutorials and product comparisons. Clear spoken explanations and accurate captions give these systems text to quote.

YouTube Shorts vs TikTok

FeatureYouTube ShortsTikTok
OwnerGoogle (Alphabet)ByteDance (US: joint venture)
Link to long videoShorts can point to a full video on the same channelMostly short content only
Ad buyingGoogle AdsTikTok Ads Manager
Visibility in GoogleStrong, same companyIndexed, but less prominent
Pro tip: Add chapters with keyword-rich titles to every long video. Google can show these timestamps as key moments in search, which gives one video several entry points from the results page.

For a full video plan alongside other channels, see my social media marketing services.

Frequently asked questions about YouTube

Who owns YouTube?

YouTube is owned by Google, part of Alphabet. Google bought it for 1.65 billion USD in a deal completed on 13 November 2006, and Neal Mohan has been YouTube's CEO since February 2023.

When was YouTube created?

YouTube was founded on 14 February 2005 by Chad Hurley, Steve Chen and Jawed Karim. The first video, "Me at the zoo", was uploaded on 23 April 2005.

How many people use YouTube?

According to DataReportal, YouTube ads reached 2.53 billion people in January 2025, or 30.9% of the world's population. Ad reach is not the same as monthly active users, but it is the most comparable public figure.

Is YouTube a search engine?

YouTube works as a search engine because people type queries and get ranked videos. Its videos also appear in Google search results and AI Overviews, so YouTube SEO supports visibility in both places.

Related terms

International SEO · AI SEO (GEO)

Grow in every market, and get cited by AI

YouTube videos rank in YouTube, in Google and in AI answers at the same time. If you sell in several countries, each market needs its own video keywords and captions, and I help plan that as part of international and AI SEO.

I help SaaS and e-commerce brands win organic traffic across Europe and the US, and get their brand recommended in ChatGPT, Gemini, Perplexity and Google AI Overviews. Every project starts with a free audit of your site, your markets and your visibility in AI answers.

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