OTTs are linking creator pay to watch time. Not everyone is happy.

Lata Jha
3 min read17 Jun 2026, 12:55 PM IST
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Content studios may find the model unfair, especially as new and niche names struggle to grab eyeballs in the cluttered market.
Summary
Prasar Bharati's WAVES platform is adopting a watch-time-based payout model, reflecting a broader push by streaming services to link content spending to actual viewer engagement—raising fresh questions for smaller creators and regional studios.

NEW DELHI: As streaming growth slows and platforms become more selective about content spending, a new metric is increasingly determining how much producers get paid: the number of minutes viewers actually watch.

State broadcaster Prasar Bharati is the latest to adopt the model for its WAVES OTT platform, joining a broader industry shift toward performance-linked payouts tied to audience engagement rather than upfront licensing fees.

Supporters say the approach helps platforms control costs, make smarter acquisition decisions and reward content that retains viewers. Critics argue it could disadvantage smaller studios and niche creators that lack the marketing budgets needed to compete for attention in an increasingly crowded market.

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“A streaming minutes-based payout model could have significant implications for both the platform and consumers. By paying creators based on streaming minutes, platforms can better manage their content costs and optimize their budget allocation. Also, they might prioritize content that drives longer engagement, potentially leading to more curated and high-quality offerings,” said Rajat Agrawal, chief operating officer, Ultra Media & Entertainment Group.

The model also gives platforms more granular insight into viewer behaviour, helping inform content acquisition and production decisions while refining user interfaces to encourage longer viewing sessions.

“At the same time, some creators might feel that the new model is unfair, leading to a potential talent flight. The focus on engagement might also lead to more formulaic content, reducing diversity. Ideally, the platforms should clearly communicate the payout structure and metrics to creators. They should ensure that the creators receive a fair share of revenue, considering the value they bring and also offer resources and incentives for new creators to thrive,” Agrawal added.

The shift comes after a dramatic reversal in the OTT market. During the pandemic, when cinemas were shut, streaming platforms aggressively acquired content, including films originally intended for theatrical release. As subscriber growth moderated and demand normalised after covid restrictions eased, platforms became more focused on profitability and returns on content spending.

In an interview in October 2025, filmmaker Hemanth Rao had pointed to the impact on smaller and regional films

“Digital rights were making up a huge chunk of how we planned our films. But once they pulled the plug and turned profit-conscious, it has caused a huge tremor for smaller and regional cinema,” Rao had said.

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OTTs want to concentrate resources on what can bring them assured viewership, he had added.

Creator concerns

A watch-time-based payout model could reinforce that trend. Smaller creators may earn little if their content fails to attract sufficient viewing hours, while the sheer volume of programming on platforms makes discoverability a challenge, Agrawal said. Complex payout formulas can further obscure how earnings are calculated.

“The challenge will be the tech capability of the platforms to ensure accurate measurement quality. The platform should also ensure that important content is not ignored only because it has lower minutes. If executed well, this model can make payments fairer, and we could see other platforms experimenting with similar performance linked payout models,” said Rajesh Sethi, partner and leader–media, entertainment and sports, PwC India.

Sethi said the shift is ultimately a logical one because it ties compensation to actual consumption rather than clicks or validated views, mirroring engagement-focused practices adopted by global streaming platforms.

For some services, the model could also lower barriers to onboarding content.

“There is a process that every OTT platform follows for the acquisition of content on a permanent basis, which is a lot longer, has a lot more budget constraints, and requires many more approvals. The process of onboarding content through a revenue-share model is usually less stringent,” said Ujjwal Mahajan, co-founder, Chaupal, a platform specializing in Punjabi, Haryanvi and Bhojpuri content.

While quality and content-fit guidelines remain in place, the lower-friction model can make it easier for smaller creators to secure distribution on large platforms, Mahajan said.

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That opportunity, however, depends on discoverability. Platforms need teams that actively evaluate incoming content and ensure it receives a fair chance to reach audiences, while product design must help users find programming beyond the most heavily promoted titles, he added. Producers should also be able to upload content easily, begin streaming quickly and access performance data.

“For the platform, this shift demands highly sophisticated analytics to verify genuine engagement. It moves away from simple metrics toward a system that rewards holding viewers' attention. This pushes creators to focus on high-quality, compelling storytelling rather than clickbait,” said Mitchelle Rozario Jansen, senior vice-president - business strategy and growth at White Rivers Media, an independent digital marketing agency.

“For consumers, the experience should improve, as content will be better tailored to keep them engaged. It also gives a significant boost to regional programming, as creators are incentivised to serve loyal audiences rather than just chasing superficial views,” Jansen added.

About the Author

Lata writes about the media and entertainment industry for Mint, focusing on everything from traditional film and TV to newer areas like video and audio streaming, including the business and regulatory aspects of both. A journalist for over a decade, she has extensively covered relatively underexplored aspects of what is seen as a glamorous business—from the death of single-screen cinemas in small towns to unreasonable star fees and demands eating into film production budgets and eventually inflating ticket rates. She was early to spot what are now established and ongoing trends such as the slowdown in the OTT business and the surge in the popularity of southern movies, which she continues to spotlight. A regular writer of in-depth, long-form features, her best-read work ranges from critical profiles of companies like Netflix, JioHotstar and Prime Video to takes on sexual harassment and mental health in the entertainment industry. She spends a lot of time watching content, particularly the old-school way in movie theatres, to make sure her writing is embedded in on-ground experience, since she believes the best stories often come from the travesties of directly engaging with and paying for the content that she writes on, and not from celebrity tweets, company releases or listings. A graduate of the Columbia School of Journalism, she has also authored a book on the business of entertainment.

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