Twitch, gaming and revenue sharing

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twitch 1000x600.jpg
twitch 1000x600.jpg

The last 24 hours have been quite intense for many streamers who perform their direct through Twitch. And it is that on the one hand, those who had special conditions, in relation to the distribution of income, are going to see them worsen. And on the other hand, a type of content that for some time now has gained some relevance on the platform, is going to be more limited than ever (and that until now it already was), to the misfortune of those who dedicate their channels the same.

Let’s start with revenue sharing. Although as a general rule Twitch does not talk about it, and even requires its partners to refrain from speaking in public about the percentages they receive about the income they generate, it is an open secret that the common streamers receive 50% of the income generated by the subscriptions to their channels, and that on the other hand, many of the most popular (and, therefore, those that generate the most income) have had a different distribution, in which they receive 70%, compared to the remaining 30% that goes to the coffers of Twitch.

It is not known which streamers have the special conditions, that is, with the 70/30, just as it is known that the most successful have special and personalized contracts. These differences are obviously why streamers contractually agree not to talk about their income. However, it seems that Twitch wants to put an end to that and, incidentally, increase its income account.

Thus, in a text by Dan Clancy, president of Twitch, we read that those streamers who, so far, have received 70% of the proceeds from subscriptions to their channelsstarting June 1, 2023 (they announce it with time, this is something to recognize) they will lose this privilege from the 100,000 dollars per year. In other words, until the first $100,000 per year is earned, the 70/30 distribution will be maintained, but from that moment on, the rest of the net income generated will be distributed 50%.

Twitch has not indicated the specific number of streamers that will be affected by this change, but mentions that the change will not affect the income currently earned by around 90% of streamers that have standard agreements with the platform. And, at the same time, he defends that in recent times they have worked on new functions and improvements so that streamers can monetize their channels more and better.

It remains to be seen, however,How do the affected streamers respond so much? (remember, one in ten), like other platforms (mainly YouTube and Facebook) that could try to take advantage of the situation to try to get hold of some especially relevant content creators, something more feasible than ever since Twitch announced, a month ago, that it will no longer require exclusivity from its partners.

An update on gambling on Twitch. pic.twitter.com/lckNTY9Edo

— Twitch (@Twitch) September 20, 2022

And on the other hand, the platform takes time chasing content based on certain games of chance, more specifically slots (replicas of slot machines), roulette wheels and dice games. It has already imposed quite a few limitations in this regard in the past, such as banning the posting of links with affiliate codes and the like (with which streamers are paid if their users sign up and use the service) but, in their own words seems not to have been enough.

Thus, and as announced todayAs of October 18, the direct broadcast of slots, roulettes and dice games from services that are not registered in the United States will be prohibited or in «other jurisdictions that offer sufficient protection to consumers«. Twitch already mentions some services that will be banned from that date, and says that it will continue to analyze that market to add more in the future.