twitch1 -
twitch1 -

Video game live-streaming platform Twitch is set to be acquired by YouTube in an all-cash deal worth over $1 billion, sources have told Variety.

The deal is expected to be announced imminently and if completed will be the biggest in YouTube's history, itself acquired by Google in 2006 for $1.65 billion.

Both YouTube and Twitch declined to offer a comment to Variety.

Twitch, which launched in June 2011 by Justin.tv co-founders Justin Kan and Emmett Shear, claims more than 45 million monthly users.

Source: Variety

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MJTH's Avatar

MJTH@ Neon-Soldier32

Essentially with music on YouTube, if you upload a cover song or parody song on YouTube you are given the choice to allow the original song creator to earn a share of the monetisation from ad revenue. YouTube has an advanced enough system of content identification to tell what the original song is from a cover in many cases. Allow both the original song maker and cover artist to make money from this new work makes everyone happy.

However, with video games no such system exists. So essentially it's an all or nothing approach to whether the company who owns the original game content or the channel owner gets the money for uploading the video.

And this doesn't just effect walk throughs, but also review and parody video's for videogames (which is a problem that is technically illegal, but google just ignores this). You also get situations like Nintendo and other companies getting controversy for claiming the ad revenue for videos, even though it is google who has this system in place to allow this. This is bad when Google has a better system in place for music and covers songs (like I said above) that could probably be configured to work with videogame content.

They are essentially refusing to fix a problem of their own doing, that could be fixed, with systems they already own.

My argument is that if YouTube is unwilling to fix the problems it has with handling the game community on the site it already owns, I very much doubt that it is buying Twitch with the intention of a new gaming focus. Twitch is the biggest livestreaming site on the internet, which says something considering it is videogames only. It is my opinion that they are buying twitch because it is their biggest competition in the video streaming side of the internet, and a brand they can get behind to push, where it's own YouTube livestreaming service has failed. Kind of like how Microsoft tried to make the msn video calling service work before it gave up and bought skype.

I think they will remove twitch's current restriction for videogames only and then allow livestreaming of any type of content. It will then put in place similar content id systems to YouTube, to stop people abusing the service (something twitch gets around now with its videogame related content only restriction and its belief in fair use). And suddenly twitch becomes a much worse place for videogame content.

PS sorry if this is hard to understand again. I'm writing this on a phone which doesn't help.
Posted 15:05 on 19 May 2014
Mintyrebel's Avatar

Mintyrebel

I really think this would be a bad thing. One reason is because it could mean streamers can't play music any more and another is that it could limit certain streams to certain countries. Luckily Azubu TV just relaunched.
Posted 13:37 on 19 May 2014
Bloodstorm's Avatar

Bloodstorm

Phantomlord, a more well known streamer, says his sources confirmed this morning that it's just a rumour.
Posted 13:23 on 19 May 2014
Karlius's Avatar

Karlius

Youtube to buy?? Surely this means Google is to buy Twitch as Google owns Youtube.

As for MJTH I think what you have here is Google have bought a fix to the problems you are outlaying. Live streaming is very much a thing on Youtube already so the purchase of Twitch would simply in my opinion be a way for them to tap into the gaming market.
Posted 13:12 on 19 May 2014
Neon-Soldier32's Avatar

Neon-Soldier32@ MJTH

Would you mind elaborating some more. Your comment intrigues me, but I can't say I fully understand it.
Posted 11:44 on 19 May 2014
MJTH's Avatar

MJTH

This news honestly scares me more the Facebook buy out of oculus rift. At least with that there is very little that Facebook can do to take away the gaming/ virtual reality purposes of that device. The worst things they could do would be required Facebook integration, which they know would be off putting for developers and sum consumers.

However, even though, gaming is one of the largest communities on YouTube, (music gets more views on singular videos, but gaming channels get the most subscribers), gaming is most ignored and badly handled of the larger YouTube communities. Systems in place to allow for parodies, covers and reviews of film and music to be mutually beneficial to both the big corporation, and the channel owners aren't in place for videogames. And google is showing no attempt in trying to fix this.

Twitch.Tv is the largest livestreaming site on the internet. Which considering it is dedicated to videogame content only is saying something. However, I get the feeling that if google buys twitch they will completely remove the video game only focus in order to allow livestreaming of any type of content. Google has shown it is not willing to fix the problems the gaming community faces on sites it already owns. So why would it care about continuing the video game focus on a hugely popular site, when they could just change it.
Posted 11:35 on 19 May 2014
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