Digital media network Defy Media is best known for its YouTube channels, "Clevver" and "Smosh," which have around 25 million subscribers on YouTube combined. The company also has a number of YouTube content creators connected to their MCN (multi-channel network) including; Ryland Adams, Chris Stuckman and Chad Wild Clay as well as many others.
The company was founded in 2008, as the parent company for online media brands. But on Tuesday 6th November 2018 they announced it was shutting down. The abrupt announcement shocked many people in the YouTube community.
Tubefilter shared Defy Media's statement: "Regretfully, Defy Media has ceased operations today." The statement went on to say "Our main focus right now is to find homes for these great brands and people" and that they wanted to move on with "as little interruption as possible."
Defy Media is also facing bankruptcy alongside its shut down. Tubefilter wrote "Defy’s shutdown follows a tough [time]" and went on to explain that "After raising $70 million in capital in 2016, it declined to ingest more money in 2017, due to underwhelming offers from potential investors."
Shock shut down
However many of those affiliated with the network took to Twitter to express their outrage when news of the companies closure was announced.
Shane Dawson, who is currently one of YouTube's most well-known and successful content creators took to Twitter a few days after the announcement to share his thoughts.
Imagine being a youtube network that steals all their creators hard earned money and then files for bankruptcy and uses the creators money to pay their debt. can’t relate.
— Shane Dawson (@shanedawson) November 8, 2018
But he was not the only one to have something negative to say, with some creators using Shane Dawson as a springboard to share their feelings towards the company.
According to some of its affiliates, Defy Media failed to share the news with them and the companies shut down came as a shock.
Also like to add that as a creator in the network, I had to find out they were closing via a Tubefilter article. Not even a call or a heads up. Blinded and without pay. Insanity.
— Lisa Schwartz (@lilschwartzie) November 8, 2018
Unpaid creators
The secrecy of the closure was not the only criticism to come out of the network's announcement.
Claims also came from those affiliated with the MCN of Defy Media, that they had not received payment from their ad revenues in the months leading up to the company's bankruptcy.
YouTuber's directly affected by Defy Media's shut down quickly took to Twitter to express their outrage over the company's treatment of them, as well as the lack of payment they had received. Those who shared their time with the company shared similar experiences.
I'm caught between fear and rage right now. If they paid me what they owe I could have time to find a job. I could find a new home. I could pay my bills. They took all of that away from me.
— Ian Fortey (@IanFortey) November 8, 2018
I'm caught between fear and rage right now. If they paid me what they owe I could have time to find a job. I could find a new home. I could pay my bills. They took all of that away from me.
— Ian Fortey (@IanFortey) November 8, 2018
Imagine receiving 421 Million views (between me and my wife, @VyQwaint's channels) and DEFY keeping all of the adsense revenue. https://t.co/SAMMaUD366
— Chad Wild Clay (@chadwildclay) November 8, 2018
I’m also owed 2 months of ad revenue from @defymedia. I was told constantly that “payment will arrive by Friday.” Then they shut down. As a former managed partner, I can’t unlink my channel from them. I’ve made $0 on all content for the past 2 months. Including 2 sponsorships. https://t.co/Z4gRgKhifE
— Chris Stuckmann (@Chris_Stuckmann) November 8, 2018
Those affected by none payment have little confidence that the company will even pay them the money that they are owed.
The boyfriend of Shane Dawson and content creator Ryland Adams shared that Defy Media was able to control its content creators and keep them silent.
I never made a "Why I Left Clevver" video because I was being threatened by Defy's lawyers on a daily basis. Instead of taking them to court and being stuck in limbo for what could have been years I accepted to join their MCN which is why they were in a position to get a %
— Ryland Adams (@Ryland_Adams) November 8, 2018