Netflix has bought a pilot TV series from The Daily Beast, a 30-minute show focusing on a recent buzzy news event. Produced with Bright North Studios, the pilot is Netflix’s attempt to create quick-turnaround documentaries on zeitgeist topics. Just don’t call it “news.” Netflix is reportedly avoiding a hard-news label, likely aiming for a timely news magazine-style format without the partisan edge that has made tech platforms skittish about news content. The project is in early stages, and it’s unclear if it will become a full series, but its very existence says a lot about where the industry is headed.

Netflix’s move comes as it warily watches YouTube’s dominance in online video – including news. While Netflix leads in subscription streaming, YouTube has become a massive hub for news and commentary videos, especially as people increasingly watch YouTube on their TV screens. In fact, YouTube’s viewership on televisions has been surging. Last month, streaming accounted for 44.8% of all TV usage in the U.S., surpassing cable and broadcast combined, with YouTube alone making up 12.5% of total TV viewing, which is nearly double of Netflix’s share. YouTube now consistently claims the largest share of TV watch-time among media companies. This highlights why Netflix cares: even though YouTube isn’t a direct competitor in big-budget dramas or films, it absolutely competes for eyeballs and attention, including time spent watching news content.

Netflix CEO Ted Sarandos has publicly downplayed YouTube as a competitor for talent, calling it more of a place to “cut your teeth” before graduating to Netflix. But the numbers tell a different story about competition for viewers. Roughly one-third of U.S. adults now regularly get news on YouTube (about the same share as Facebook), and usage has been rising. Younger audiences in particular increasingly turn to YouTube (and TikTok) for news snippets, explainers, and live updates instead of traditional TV news. The result: traditional cable news viewership is aging and declining, while online video news thrives. Americans are spending more time with digital content, from social feeds to streaming platforms – and far less with cable TV. In this landscape, YouTube has a massive first-mover advantage in the online video news space that Netflix can’t ignore.

Netflix isn’t alone in testing the waters of news-style programming. Amazon experimented with live news around major events – for example, streaming an election-night news special hosted by veteran anchor Brian Williams on Prime Video. Fox has built out its news offerings on the free streamer Tubi, and even CNN (after a short-lived CNN+ service) now streams live news for subscribers on Max. These efforts recognize that on-demand video platforms need to capture audiences who increasingly prefer to watch news on their own schedule or devices rather than appointment TV. A Pew Research report this year confirmed that social media and streaming platforms overtook TV for news among young adults, a generational shift pushing media companies to adapt.

For Netflix, the Daily Beast pilot is a notable step because the company has historically steered clear of real-time news. Netflix made its name on scripted series, movies, and bingeable true-crime docs, content with long production lead times. “News,” by contrast, is immediate, unpredictable, and can be politically sensitive. That likely explains why Netflix’s pilot will aim to be informative but not too hard-edged. According to insiders, it’s unlikely to wade into sharply partisan topics that have scared other tech companies away from news. Instead, Netflix may focus on pop culture and society stories (imagine something like a quick documentary on a viral phenomenon or scandal of the week). This middle ground could let Netflix capitalize on newsy timeliness without taking on the baggage of a 24-hour news channel.

There’s also synergy at play: Netflix has dabbled in topical content through talk shows and weekly releases (remember Patriot Act with Hasan Minhaj or The Break). Those met mixed results. But now Netflix can leverage its huge platform to give a newsy show instant global reach, something even YouTube’s independent creators might envy. And by partnering with The Daily Beast (a digital news outlet known for scoops and pop culture meets politics coverage), Netflix gets editorial expertise while the Beast gets a shot at a wider audience and a new revenue stream. It’s a notable win for Daily Beast’s leadership if it goes forward, given that the outlet has been undergoing a major overhaul and cost cuts under CEO Barry Diller’s IAC. A Netflix series could raise the Beast’s profile in the streaming space.

More people are consuming news through streaming and internet video than ever before and platforms from Netflix to Amazon are racing to catch up to YouTube’s head start in this arena. Netflix’s foray with a Daily Beast pilot underscores how even entertainment giants now see news (or news-adjacent content) as key to locking in viewers’ attention. But unseating YouTube as the default destination for on-demand news won’t be easy. YouTube’s vast creator ecosystem, real-time content, and deep integration into our devices give it a formidable lead. Netflix’s challenge will be to deliver timely, engaging news content that feels fresh and relevant, all without straying from the quality and storytelling that its brand is built on. If Netflix can find the right formula, it could open a new chapter in streaming where on-demand news becomes a staple. If not, YouTube will continue to dominate the space while traditional news outlets keep navigating an online video world on YouTube’s terms. In the race for news in the streaming era, Netflix is at the starting blocks – but YouTube is already miles down the track.