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This is why streamers are mad at Twitch; The streaming platform announces pay cuts

"We can't run this service unless you make money" Dan Clancy, Twitch CEO said

This is why streamers are mad at Twitch; The streaming platform announces pay cuts

"We can't run this service unless you make money" Dan Clancy, Twitch CEO said

If you are a Twitch streamer, you will know that it is not easy to create a community from scratch, keep the audience entertained and reach the partner level quickly due to the platform's requirements.

Today, premium streamers have received some unpleasant news because Twitch has shared a letter by Dan Clancy, CEO of the company, where he talks about an update on subscription revenue sharing.

In the letter, Dan Clancy starts thanking the creators for giving their maximum effort to the platform by saying: “streamers are and always will be the foundation of our global community.”

But then he also clarified: “we can't run this service unless you make money.”

For the same reason, Twitch has announced that “premium” streamers who have received a 70/30 subscription split in their favor will now see that split is capped after the first $100,000 of earnings. After that, the split will change to 50/50, the standard split for non-premium, “normal” Twitch Streamers. The changes will not go into effect until June 1, 2023, and will not alter current Twitch contracts.

So, if you still don’t fully understand what is going on and why streamers are mad with Twitch, let us explain.

THESE ARE THE REASONS WHY EVERYONE IS COMPLAINING

-The top tiers helped build Twitch's success, and cutting their income will only cause these same creators to consider moving to another platform like YouTube, where contracts on that platform are 70/30.

-This also means that the rest of the non-premium creators who expected the 50/50 split to increase to 70/30 are disappointed.

-Twitch changed its ad policies to “helping you generate more income.” As creators, and especially for viewers, these ads are becoming more annoying and invasive. Have you ever had to enter a stream and run into 15 minutes of commercials without being able to skip them?

-In Clancy's statement, he mentions the following: “Delivering high definition, low latency, always available live video to nearly every corner of the world is expensive. Using the published rates from Amazon Web Services’ Interactive Video Service (IVS) — which is essentially Twitch video — live video costs for a 100 CCU streamer who streams 200 hours a month are more than $1000 per month.”

Well, this just makes all creators think that Amazon, the billion-dollar company that owns Twitch, can't afford this. So everyone thinks the cuts are unnecessary.

Without a doubt, this new update is generating a lot of disagreement on the part of the creators.

Being objective with the distribution of profits, it would not be surprising if, in the future, we see many creators migrate to other platforms, such as YouTube, precisely because of the 70/ 30.

Here are some of the creators' responses to the original Twitch Twitter post:

What do you think about this? Let us know in the comments section.

Keep informed on LEVEL UP.

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