YouTube Unveils New AI Tools, Live Features, and Monetization Options at Made on YouTube 2025
San Bruno, Sept. 16, 2025 — YouTube announced its most comprehensive set of product updates yet during the annual Made on YouTube event, introducing new generative AI tools, livestreaming upgrades, and advanced monetization features aimed at giving creators more ways to produce, engage, and earn on the platform.
The updates, which integrate Google DeepMind’s latest AI models and respond directly to community feedback, signal YouTube’s ambition to remain the world’s most influential creator platform in the face of growing competition from TikTok, Twitch, and emerging AI-first apps.
Generative AI Powers a New Era of Creativity
At the center of the announcement is Veo 3 Fast, a custom version of DeepMind’s video generation model designed for Shorts. For the first time, creators can generate video clips with both visuals and sound from a text prompt, with results delivered at 480p resolution and low latency. The feature is already rolling out in the U.S., UK, Canada, Australia, and New Zealand, with more countries to follow.
“Tap the create button, hit the sparkle icon, and you can generate clips from scratch — right on your phone,” explained Dina Berrada, YouTube’s Director of Product for Generative AI Creation.
Other creative AI features coming to Shorts include:
- Motion Transfer: Animate a static photo by borrowing the movement from another clip, such as a dance routine or sports move.
- Stylization: Instantly apply art-inspired filters like origami or pop art, transforming the mood and texture of a video.
- Add Objects: Insert props or characters with a prompt. For example, creators can add a floating rubber duck to their morning coffee clip or place a giant octopus in a harbor scene.
YouTube is also experimenting with Edit with AI, which automatically assembles raw footage into a polished first draft. The tool identifies highlights from the camera roll, arranges them into a narrative, adds transitions and background music, and even generates a playful voiceover in English or Hindi.
In addition, the Speech to Song feature allows dialogue from eligible videos to be remixed into catchy tracks. Powered by DeepMind’s Lyria 2 music model, it lets creators apply moods like “chill,” “danceable,” or “fun,” while attributing the original source.
To maintain transparency, all AI-generated content will include SynthID watermarks and content labels, making clear when videos are produced with generative tools.
The Biggest Upgrade to YouTube Live
Livestreaming remains one of YouTube’s fastest-growing segments, with more than 30% of daily logged-in users watching live content in the second quarter of 2025. To strengthen this format, YouTube rolled out what it calls the largest upgrade ever to Live.
New features include:
- Practice Mode: Allows creators to test equipment, overlays, and formats before going public.
- Playables on Live: Adds interactivity by letting streamers play from a library of over 75 lightweight games — including Angry Birds Showdown, Words of Wonders, and Trivia Crack — while engaging with chat.
- Simulcast Across Formats: Enables creators to broadcast in both horizontal and vertical formats at the same time, uniting viewers in one chat experience across devices.
- React Live: Expands the ability to livestream commentary or reactions to other live content, effectively turning streams into shared events.
- AI-Powered Highlights: Automatically identifies peak moments from a livestream and converts them into Shorts, extending reach and engagement long after the broadcast ends.
Monetization features were also upgraded. A new side-by-side ad format lets creators earn without interrupting the stream, displaying ads beside live video rather than cutting into it. Additionally, creators with paid memberships can now shift seamlessly from public to members-only streams, giving fans premium access without disrupting the broadcast.
“These updates reflect what creators have asked for — more discoverability, more engagement, and more flexible ways to monetize,” said Aaron Filner, YouTube’s Senior Director of Product for Live.
New Monetization and Brand Partnership Features
Beyond creative tools and live enhancements, YouTube also announced changes to how creators and brands collaborate.
- Dynamic Sponsorship Slots: Instead of permanently embedding sponsorships into videos, creators will be able to insert swappable brand segments. This makes it possible to replace an ad once the deal ends, resell the slot, or localize sponsorships for different markets.
- Brand Links in Shorts: Creators will soon add direct links to brand partners within Shorts, offering advertisers stronger conversion metrics beyond traditional views and likes.
- Creator–Brand Matchmaking with AI: A new system within Google Ads will recommend creators to brands based on audience fit. YouTube will also connect creators and advertisers at industry events and through its sales teams.
- AI-Driven Product Tagging: An upgraded YouTube Shopping feature will automatically identify products when mentioned in a video and tag them at the moment viewer interest is highest.
YouTube reported a fivefold year-over-year increase in shopping gross merchandise volume (GMV), with more than 500,000 creators currently enrolled in the program. Merchants now include major retailers such as Nike, Best Buy, Michaels, and Michael Kors in the U.S., as well as Olive Young and ZigZag in Korea.
Why It Matters
With these updates, YouTube is reinforcing its dual role as a creative playground and a business hub. Generative AI lowers the barrier to production, livestreaming upgrades expand interactivity, and monetization features provide more sustainable income streams for creators.
The timing is significant. Rival platforms like TikTok are pushing aggressively into e-commerce and AI tools, while Twitch continues to dominate live gaming streams. By integrating AI models like Veo 3 and Lyria 2, YouTube is making clear that it intends to lead not just in scale but in innovation.
“Whether you’re a new creator experimenting with Shorts or a full-time streamer managing sponsorships, these updates give you more flexibility, creativity, and earning potential,” said Todd Sherman, YouTube’s Senior Director of Product Management.
The Big Picture
In the last four years, YouTube has distributed over $100 billion in earnings to creators, musicians, and media organizations worldwide. The platform is betting that its latest wave of AI tools and monetization features will help it extend that leadership in the rapidly evolving creator economy.
As competition heats up, YouTube’s strategy is clear: make creation effortless, make live content more discoverable, and make brand partnerships more rewarding. For creators, that could mean not just more ways to play, but more ways to thrive.
