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How YouTube Content ID Works
Content ID uses audio fingerprinting to match the audio in a video against the platform's reference database. A fingerprint is generated from the audio itself, so even if the song is played from a different device, at a different speed, or with added noise, the fingerprint can still match.
The reference database is built from the rights owners who have submitted their releases. When a video is uploaded, the audio is analysed, and the fingerprint is compared against the reference database.
The outcome is applied by the rights owner. The owner can choose to monetise, block, or track the use. The platform does not choose; the rights owner does.
For an artist, the important point is that the rights must be documented. A release that is not in the reference database cannot be claimed or tracked.