Can AI Provide Passive Income? Week 1 Insights
Week 1 of my challenge to use AI for building a passive income channel is officially complete!
In this update, I’ll break down the costs, lessons learned, and key takeaways from using AI to support the creation of a faceless YouTube channel.
If you are looking at ways that AI can generate passive income, keep reading.
Week 1 Highlights
The first step was setting up a YouTube channel and brainstorming content ideas. After researching successful channels, I decided to focus on a popular film series with a strong, engaged fanbase. Choosing a niche, you genuinely enjoy is crucial for long-term consistency, while also ensuring there’s proven audience demand (evidenced by high views and subscriptions in similar channels).
Since my goal was to leverage AI as much as possible, I opted for YouTube Shorts instead of long-form videos. Shorts (typically 30 seconds in length) are much easier to script and produce compared to 10-minute videos, making them a great entry point for AI-assisted content creation.
Current Costs
I initially aimed to keep expenses as low as possible, but in reality, some upfront investment was necessary. Here’s a breakdown of my current costs:
- Adobe Premier Pro (Video Editing) - £56.98/month (as part of my Adobe Creative Cloud subscription). While I use this for other projects, free alternatives like CapCut or iMovie could work for beginners.
- ElevenLabs (AI Narration) - £4.86/month. I started with free credits, but after reaching the limit, I subscribed to their basic plan, which allows me to generate narration for around 60 Shorts per month - more than I currently need.
Benefits of Using AI
- Scalability & Efficiency: Delegating tasks to AI enables quick creation of content, making it easier to scale over time.
- Passive Growth Potential: Once a video has been published, the content continues to generate views and revenue over time, aligning with passive income goals.
- No Pressure for On-Camera Presence: The AI tools available provide the support to enable anonymity across the channel.
Challenges & Lessons Learned
- Upfront Costs: Running the channel at zero cost wasn’t realistic. Some investment is necessary.
- AI Video Quality Limitations: I tested Runway, an AI video creation tool, but wasn’t ready to commit to a subscription yet. If the channel reaches monetisation, I’ll reinvest earnings into better AI tools.
- YouTube Algorithm Uncertainty: My final video of the week only received 38 views, compared to an average of 2,500 on previous videos. This shows the algorithm isn’t always predictable, and I’ll need to experiment more to improve consistency.
Key Takeaway: Just Start!
In just one week, I’ve learned a ton about AI’s potential for YouTube. While there are some costs, I encourage anyone interested to start testing AI tools and posting content as soon as possible.
I’ll continue exploring how far AI can push passive income - and if you’re on a similar journey, I’d love to hear about your experience!
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