The new Twitch subscription revenue cut is now being considered. Once this change is implemented, then the top creators on the streaming platform will have a hard time generating earnings.
A gamepad is pictured as a screen displays the online Twitch plateform in Toulouse, southwestern France, on June 15, 2021. (Photo by Lionel BONAVENTURE / AFP)
Twitch explained that the upcoming monetization changes would allow it to boost its profits. However, some experts claimed that the revenue cut would definitely lead to some negative effects on the platform.
Both viewers and streamers will experience the effects of the earning deduction once it is implemented, which is expected to happen around the summer this 2022.
Twitch Subscription Revenue Cut a Bad News?
According to GameSpot's latest report, Twitch is looking for financial stability in its streaming platform. The revenue reduction plan will range between $5 to $25.
This illustration picture taken on July 24, 2019 in Paris shows the US live streaming video platform Twitch logo application on the screen of a tablet. (Photo by Martin BUREAU / AFP)
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The subscription revenues that Twitch partners, especially the biggest streamers, earn will be reduced from 70% to 50%. Aside from this, there will also be new subscription earning tiers.
This means that the revenue that Twitch creators can acquire from their subscribers will depend on the level of the tier they are in.
Of course, the streaming platform explained that it would remove the restrictions of its partners to make up for the revenue cuts.
Once the limitations are removed, Twitch streamers can publish their content on YouTube and Facebook, allowing the affected creators to earn additional revenue from FB and YT streaming.
Twitch Viewers Will See More Ads
Aside from the top streamers, viewers will also be affected by the new Twitch monetization changes since the company will also focus on advertisements even more.
This means that platform's consumers will see more ads on their screens as they watch their favorite streamers, as reported by Dot Esports.
Experts stated the advertisement increase would affect the experiences of the viewers, especially since ads appear randomly in the video content.
Aside from the mentioned issues, critics also claimed that the monetization changes would also allow YouTube to be a more competitive video platform for streamers.
If you want to see more details about the new Twitch subscription revenue cut plan, you can visit this link.
Recently, Twitch streamer Amouranth lost around $2 million because of a typo error during a bank transaction.
On the other hand, Twitch-to-Zoom connection is now possible, thanks to Zoom's new feature.
For more news updates about Twitch and other giant streaming platforms, always keep your tabs open here at TechTimes.
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Written by: Griffin Davis
