Twitch explains why streamer revenue will plummet

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Twitch will not back down. Last September, the service unveiled a major change in its remuneration policy. Thus, the most popular videographers on the platform have previously benefited from 70% of net income from subscriptions, while other creators only receive 50%. As of June 1, 2023, these streamers will still be able to benefit from the 70/30 ratio up to $100,000 in revenue, but beyond that it will be 50/50.

Logically, big names in streaming have spoken out against this measure. For some of them, who are at the head of SMEs employing many employees, it is a real blow. And precisely, the Amazon platform responded directly to them during the TwitchCon which took place at the convention center in San Diego.

“Twitch must thrive and become a sustainable business”

The service’s monetization manager, Mike Minton, was very clear: ” We looked at all the possible options: could we do it, could we offer 70/30 widely and at scale? And the answer is no, it’s just not viable for Twitch or long term, at least as we know things today. »

The leader also wanted to respond to a recurring criticism: “ The immediate retort that usually follows is “wait a minute, you’re part of Amazon”, but Amazon expects Twitch to survive and thrive as a sustainable business. “.

Mike Minton suggests streamers use the platform’s tools that “make more money from the audiences you already have.” Before adding: For every hour of viewing, if you look at the last five years, we’ve increased your revenue by 27% year-over-year […] so you earn three times more with the same community than five years ago. »

Not sure that his words are enough to reassure streamers. In France, one of the most illustrious of them, Zerator, had commented on this bad news in September: “ 20% reduction in my annual Twitch turnover from mid-2023 without us being able to discuss or do anything. And no, changing platforms is not viable and mounting one even less so. It was the good year to “transform” the big projects huh “.

The period is definitely not very favorable for the service which was affected by a controversy during TwitchCon. On site, a videographer named Adriana Chechik, was seriously injured due to a bad fall. Many observers have pointed to the lack of security.

Twitch
Twitch

By: Twitch Interactive, Inc.

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