Twitch, the popular video game streaming platform, will raise its subscription rates for the first time in the US. Starting July 11, Tier 1 subscription prices will increase from $4.99 to $5.99 per month. This change is part of Twitch’s efforts to help creators grow their communities and increase their revenue.
Twitch explained the increase is necessary to support creators better. In a recent Twitter announcement, Twitch stated that streamers would continue to earn revenue shares of 50% to 70%, depending on their Plus Program level. This adjustment is expected to drive more revenue to streamers, making streaming more sustainable.
While the price hike aims to benefit creators, it could lead to a drop in subscriber numbers. Twitch believes the additional revenue will help rebuild the Safety Advisory Council, which was recently restructured. The platform emphasizes the importance of keeping streamers and viewers safe, and the extra funds might be directed towards these efforts.
Twitch has faced a challenging year, with layoffs and restructuring. The company laid off 500 employees and replaced its Safety Advisory Council with Twitch Ambassadors. Despite these setbacks, Twitch aims to create a transparent framework for streamer compensation with this new pricing update.
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