Twitch doubles down on 50/50 revenue split with streamers
'The answer is no' was the response over the weekend to a return to 70/30 revenue sharing with Twitch streamers.
Twitch made many of its streamers unhappy last month when it changed its revenue sharing split with stremers from 70/30 to 50/50. Despite the protests from many of the company's top personalities, it doesn't look like that's about to change. The topic was raised at TwitchCon 2022 and Twitch seems adamant that the 50/50 revenue share is here to stay.
"The important thing for me is that me and my teams are one hundred percent focused on improving your ability to make income," Twitch Chief Monetization Officer Mike Minton said during TwitchCon 2022's Patch Notes stream on Sunday (via Eurogamer). "At the end of the day, we're setting a framework for the long term so that you can all keep earning as long as possible and the next generation of streamers can have that same opportunity."
"We did look at all possible options," he added. "Could we do it, could we offer 70/30 widely and broadly? And the answer is no. It's simply is not viable for Twitch or the long term, at least as we know things today."
Minton also addressed one of the more common responses from streamers, which is that Twitch is owned by Amazon, one of the wealthiest companies in the world. He notes that while this is true, Amazon is still looking to Twitch to maintain profitability without relying on its parent company's revenue stream. On top of that, he cites the increasing costs in live streaming across the world.
Twitch revenue sharing has been a hot topic since the company issued a statement back in September, which announced the streamer revenue cut. Unrest was not eased at this year's TwitchCon, which is usually recognized for introducing new streamers tools and streamer-friendly initiatives. That was largely absent at this year's convention. This year's show was recognized more for Twitch's community members being there for each other, which is likely a sign of things to come.
Twitch and its future continues to be a major story worth watching and we'll continue to monitor the situation at Shacknews. Keep it here for any updates.
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Ozzie Mejia posted a new article, Twitch doubles down on 50/50 revenue split with streamers
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what a fraud
On top of that, he cites the increasing costs in live streaming across the world.
put up or shut up, mr "monetization officer" . so far this is some enron/worldcom bullshit that just screws everyone but the company.
if costs are ACTUALLY rising, should be pretty easy to empirically SHOW THAT -
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In the past that was the starting split. Then as you got partner and got more subscribers you got moved to a 70/30 split. And then there were the really big streamers with unique contracts that could change the split more.
But Twitch has basically said they are doing away with the 70/30 split, except if you are grandfathered in with an existing contract. But as those contracts expire they will renew at 50/50.
Twitch is the only streaming platform that requires an exclusivity contract to get paid. So when those contracts start to expire I expect that you will start to see the big streamers cancel their Twitch contracts and stream on Twitch, Youtube, Facebook, etc at the same time.
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yeah, it does reek of the shit wages, hope for tips framework. "but our costs are so high!" tacked on is extremely laughable.
streamers will need tips, prime subs, merch, and all sorts of affiliate links (Gfuel, Logitech, etc etc etc) to make this remotely worth their time.
major fucking bonehead move by twitch. then add on the fact that hasan and pokimane got scammed by a guy gambling on Esports... but they did a major coup to crack down on slots gambling. not esports gambling. WELP. -
Ninja already did it and his viewership went up. The big streamers are going to jump ship from their Twitch contracts and continue to stream on the platform without subs. And just get their revenue from Youtube, Facebook, Twitch Bits, or Direct donations. I would expect that Patreon+Discord will probably be a big avenue as well since you can integrate Discord with your Patreon, make that the default chat that the streamer interacts with.
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The problem is sort of the chicken/egg problem. Same that Mixer and YouTube had/have. No one goes to Mixer or YouTube to browse for live gaming content. They go to Twitch. So the audience isn't there for smaller streamers to build communities on those services. Yeah maybe a large streamer can bring some people like Ninja and Shroud did, but those people didn't hang on Mixer looking for other content. They just went back to Twitch if their favorite streamer wasn't live on Mixer.
It would take a mass exodus from Twitch to another service for anything to happen. -
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They should have tapered it off instead of going straight from 70/30 to 50/50 after you hit 100k in a year.
70/30 'til you hit $100k, then 60/40 'til $200k, then 50/50 from there or something. It'll be interesting to see if YouTube or TikTok can gain some traction in the space if they offer better cuts for streamers. -
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