Twitch Changes Its Monetization Policy, Claims To Make Content Creators Lose!
JAKARTA - Twitch is reportedly changing its monetization policy on its creator content, possibly causing them to no longer make much money in the future.
In addition to the monetization changes, Twitch also plans to reduce partnered creator content revenue from subscriptions from 70 percent to 50 percent.
These changes include a new revenue share from subscriptions, a new tier system, and supporting advertising. Content creators may receive further incentives to run more ads on unsubscribed audiences.
According to sources who spoke to Bloomberg, the changes may offer more freedom. In exchange for this less favorable monetization, Twitch may drop the exclusivity requirement and let Partner program members stream their videos on rival services such as Facebook Gaming or YouTube.
The source reported that the terms could be changed or cancelled. The change comes after Twitch has implemented various efforts to increase long-term profits and satisfy parent company Amazon.
Launching Engadget, Thursday, April 28, the service also recently introduced a program that motivates their content creators to run more ads frequently.
Twitch already stands out in Amazon's business with links to Prime, Luna and Music, it's clear the online shopping giant wants its live streaming service to be more successful in its own right.
A reduced cut for well-known creator content may prove risky. Like DrLupo and Timthetatman who left Twitch for YouTube.
While big names like Ninja have returned to Twitch or signed multi-year deals, they probably won't stick around if they think they can get more out of competing services over these monetization changes.
There are also long-standing concerns that Twitch hasn't addressed issues with full-time streaming, such as long work hours and difficulty taking vacations.