Twitch's Proposed New Scheme To Boost Profits Has Streamers Ready To Jump Ship
Twitch, seemingly always in an antagonistic relationship with its streamers, has caused yet another kerfuffle among its talent after its proposed new creator payout system was reported on by Bloomberg. The report suggests a simple shakeup to Twitch's current model: Twitch makes more, streamers make less.
The most eye-catching aspect of the proposal is that Twitch is considering paring back how much it pays top talent from 70 percent of revenue streams to 50 percent. Another option discussed is releasing streamers from exclusivity clauses in exchange for the revenue cutback. Twitch may incentivize more ads on the site as well, such as paying those who stream 40 hours a month $100 if they stream two minutes of ads per hour. That number could increase with more ads shown.
Bloomberg reported that the proposed model could be abandoned entirely, or streamers could see portions of it beginning to take effect this summer. One thing's for certain right now, however, almost none of Twitch's top content creators seem to like the proposal.
Should the changes go through, we may soon see a mass exodus of streamers away from Twitch and onto platforms like YouTube Gaming, which has its own "set of problems" for creators.
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ArcadeTwo
Companies trying to boost profits and then losing all of their customers seems to be a running trend of late