Surviving on Twitch is already a fraught prospect. But that may be about to get a whole lot worse, as the streaming juggernaut is reportedly looking at revamping its monetization model in ways that are less favourable to creators and viewers.
That comes courtesy of a Bloomberg report, which has been told by sources that private discussions are underway to explore dramatic monetisation tweaks—some of which may come into effect as soon as this summer, though sources stressed that these plans “aren’t finalized and could be abandoned”.
Among the options being considered is a pay cut for its highest-paid partners, reducing their revenue cut for subscriptions from 70% to 50%. Twitch may also introduce various “tiers” of partnership with different rates and requirements, though to soften the blow it’s been suggested partners may have exclusivity restrictions lifted, letting them also stream on YouTube or elsewhere.
This comes alongside a harder push for ads on the site this year, with Twitch incentivising streamers to run more adverts by offering $100 for running 2 minutes of ads per hour, with proposals in place to create a new revenue-sharing model for ads.
These proposals aren’t set in stone, and may never come to pass. But it’s a reminder that Twitch is ultimately a business, and Amazon has been pushing Twitch harder to make itself more profitable. It also comes after a rocky 2021 for the site which, among many other issues, saw music takedowns and hate raids reach a tipping point.