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Dailymotion allows users to browse and upload videos by searching tags, channels, or user-created groups. The search system also introduces results based on other users' searches. The maximum size of a video file is 4 GB. The length of the video files is also limited to 60 minutes, except for motionmakers and Official Users.[10]

In 2005, Dailymotion offered users simple functionalities such as: video upload (from file or webcam), a video player (using Flash) and a browsing system (sorted by channels, user-created groups and tags)

In 2006, Dailymotion added new functions: users could follow and recommend videos to other users, subscribe to channels, add friends, etc. Dailymotion also optimized sharing options: with the embedded player, users could integrate easily videos on their own sites or blogs. Video statistics were added, number of views being showcased on top of the video, allowing users to know which videos were the most popular. Dailymotion developed advertising on the website (display, web banners).

In 2007, a "Fingerprinting" program was launched with Audible Magic, to counter copyright violation. The program scans the soundtracks of the videos and automatically recognizes copyrights. High Quality (640x480) became available for all users and Dailymotion created different user status: motionmakers (creative users who create original content) and Official Users (professionals, brands who want to broadcast videos). In 2007 the first web app was also launched on iPhone and on "wap SFR" in France. Videos uploaded by users to Dailymotion used to be (until 2008, see below) converted to the VP6 format at a resolution of 320×240. Audio on Dailymotion videos used to be encoded as MP3 at 96 kbit/s in stereo. The partnership gave Dailymotion the financial backing it needed to upgrade its servers to handle High Definition video and showcase its motionmaker videos.

Dailymotion started its international expansion in 2008. The website was launched in many languages and its content was located by countries. The Home Page was optimized, High Definition (720p) and subtitles appeared on the player. "Dailymotion Kids" was launched: a channel dedicated to children with special content, a dedicated look & feel, and parental control. In February 2008, HD quality was made available to motionmaker users. In October 2008, HD quality was made available to regular users.