Tuesday, April 29, 2025

YouTube Disables Ad Revenue for Fake Movie Trailer Channels

YouTube moved against the AI-generated fake movie trailer channels strongly, demonetting two of the most popular ones, Screen Culture and KH Studio. These highly popular channels, with millions of subscribers and billions of views each, were renowned for creating false trailers by splicing together clips of actual movies and AI-generated sections. Their videos often included imaginary previews for rumored projects like Grand Theft Auto VI, Fantastic Four: First Steps, and Christopher Nolan’s The Odyssey. Other videos even included fantasy casting, such as Leonardo DiCaprio in Squid Game or Henry Cavill as James Bond.

The crackdown followed a probe by Deadline, which revealed the extent of such channels’ viewership and the level of sophistication of their content. The trailers were so realistic that they sometimes appeared in search results ahead of official promo content, leading viewers to believe they were real previews. YouTube’s decision to demonetize these channels is a consequence of transgressions of its monetization policies, which require creators to make significant modifications to reused material and prohibit duplicative or misleading content produced only for the intent of attracting views.

Interestingly, Hollywood studios reportedly benefited from these fake trailers by redirecting ad revenue generated from them to their accounts. This arrangement raised questions about the studios’ involvement in tolerating unauthorized use of intellectual property. However, YouTube’s policies ultimately prioritize transparency and originality over such monetization deals.

Both KH Studio and Screen Culture stood by their creations as creative endeavors and not as efforts to deceive viewers. The founder of KH Studio lamented the demonetization move, highlighting their desire to play out “what if” scenarios and not to deceive viewers with actual releases. Likewise, the founder of Screen Culture contended that the majority of viewers recognized the trailers as fictional, asking for the harm inflicted.

This move by YouTube is in line with broader concern over the role of AI in entertainment and intellectual property. It also fits with recent market trends, such as agreements limiting unauthorized AI replicas following the SAG-AFTRA walkout. Screen Culture and KH Studio can probably appeal the decision, but the action is an elevated effort to monitor AI-created content and protect consumers from disinformation.

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