Owning the live streaming platform, Amazon cannot generate income from Twitch at the scale it wants, especially when compared to its huge rival like YouTube. This may mean that the commissions that Twitch pays to its publishers may be deducted.
According to a new report from Bloomberg, the financial situation on Twitch is not at the desired level. Besides the idea of deducting the money paid to broadcast partners, popular accounts are also on the table. The company is considering paying less in exchange for greater collaboration with popular accounts to increase its earnings.
Huge cuts are coming to Twitch publisher payments
According to Bloomberg’s news, a new payment period for Twitch begins. Among the options being considered is reducing the premium publishers’ pay for subscriptions from 70 percent to 50 percent. Twitch may also offer various tiers of partnerships with different rates and requirements.
Twitch, which will encourage broadcasters to share more ads, still does not want broadcasters to flee to different platforms. It seems that the advertising policy of the platform, which is stated to be able to pay 100 dollars for 2-minute ads to be broadcast hourly, will completely change.
The report says the revenue cut from subscriptions can apply to all publishers, not just top publishers. However, it was claimed that the company could lift the restrictions and allow it to broadcast on platforms such as YouTube to soften this blow to broadcasters.
Sources nevertheless stressed that these plans are not finalized, but that some of the cuts that have the potential to be implemented may come into effect from the summer term.
It’s hard to earn a steady income as a live stream producer, but working with Twitch, which wants to make more money from broadcasters, seems to be even harder. It should be noted, however, that the company declined to comment on the cut claims.
So what do you think about this cut to the revenues of Twitch publishers? Do not forget to share your views with us in the comments section or on the SDN Forum.
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