Streamers say reported cuts to Twitch pay-outs won’t go down well

Top Twitch streamers express anger at Amazon platform’s reported plans to increase profits by reducing payouts in the partnership program.

if indicated by Bloomberg NewsTwitch is considering some changes to increase the revenue it collects from its most popular streamers. These include encouraging streamers to show more ads; reduce the revenue share for streamers from 70 percent to 50 percent (a favorable deal available only on some of the platform’s biggest draws); and the introduction of a new tier system that allows streamers to graduate through different revenue splits based on set stats.

As a concession, Twitch could release partners from exclusivity clauses, allowing them to stream on rivals such as YouTube and Facebook. Bloomberg stressed that “updates to the partnership program have not yet been finalized and may be discontinued,” while Twitch declined to comment on the news at the time of publication.

In response, many streamers said the suggested changes would make life more difficult and could force them to move to rival platforms. However, others noted that Twitch has no serious competition in the streaming world, allowing the company to make a profit at its discretion.

“Subscriptions are more important to the life of any streamer than almost any other utility Twitch offers and to touch the split is financially devastating and potentially removing thousands of full-time creators from your platform. [sic] immediately,” said Twitch streamer Jericho

“What a joke. Makes it worse for everyone but themselves,” said Irish YouTuber Jacksepticeye

Left-wing Twitch streamer Hasan Piker said it was “wild”. Twitch found its current revenue split not profitable enough, but that the platform’s biggest names have nowhere else to go.

“I hate to say it, but twitch is only making moves like this because they think there’s no competitor in the live streaming space,” tweeted Piker† “Mixer is dead, fb is a black hole for relevance, and yt is too big to handle live streaming and to change slowly.”

However, some streamers saw some positives in the Bloomberg report. “Most streamers already get 50/50 and a tier system that automatically gets you higher would be better than begging Twitch for a split,” Twittered YouTuber and Twitch streamer Stanz† “Will non-exclusiveness also be the norm? SOUNDS GOOD.”

According to data platform TwitchTrackerAmazon’s streaming service currently has about 51,000 people in its collaborative program. Viewers can pay to subscribe to channels starting at $5 per month (perks include custom emoticons and ad-free content, if the streamer allows) with Twitch then sharing this revenue with the content creators.

Amazon isn’t releasing revenue figures for Twitch, but the company as a whole is being hit by slowing growth. In the most recent earnings report, although Q1 revenue grew nearly $8 billion year-over-year, analysts were still wary of Amazon’s lower-than-expected Q2 projections.


www.theverge.com

Leave a Reply

Your email address will not be published.