Variety is reporting that YouTube has reached an agreement with Twitch to acquire the leading video game streaming service for $1 billion. Twitch has been gaining more and more momentum in the last two years - the service boats over 45 million unique viewers a month who consume over 9 billion minutes of video. Variety describes the deal as follows:
When news hit, gamers, and the Smashers among them, took a mostly negative outlook. Worries of integration with Google+ or of the poor buffering service seen on YouTube are large concerns. Others wonder what this will mean for advertising and how it will effect Twitch partners like VGBootcamp and Clash Tournaments. A final, possibly much bigger issue, will be if this deal effects music that is streamed and whether it will bring the often inaccurate YouTube Content ID system to Twitch.
At the moment though, Twitch faces considerable challenges in the streaming space. Major League Gaming's recently launched MLG.TV saw huge growth since 2013. Alongside the recent re-launch of Azubu.tv and newcomer Hitbox.tv, Twitch will need to maintain it's current commitment to service and innovation if it wants to remain the leader in video game livestreaming.
Twitch and YouTube have not yet made official public comment concerning the deal.
UPDATE: The Wallstreet Journal says this may not be inked yet.
"The deal, in an all-cash offer, is expected to be announced imminently, sources said. If completed the acquisition would be the most significant in the history of YouTube, which Google acquired in 2006 for $1.65 billion. The impending acquisition comes after longtime Google ad exec Susan Wojcicki was named CEO of YouTube earlier this year."
When news hit, gamers, and the Smashers among them, took a mostly negative outlook. Worries of integration with Google+ or of the poor buffering service seen on YouTube are large concerns. Others wonder what this will mean for advertising and how it will effect Twitch partners like VGBootcamp and Clash Tournaments. A final, possibly much bigger issue, will be if this deal effects music that is streamed and whether it will bring the often inaccurate YouTube Content ID system to Twitch.
At the moment though, Twitch faces considerable challenges in the streaming space. Major League Gaming's recently launched MLG.TV saw huge growth since 2013. Alongside the recent re-launch of Azubu.tv and newcomer Hitbox.tv, Twitch will need to maintain it's current commitment to service and innovation if it wants to remain the leader in video game livestreaming.
Twitch and YouTube have not yet made official public comment concerning the deal.
UPDATE: The Wallstreet Journal says this may not be inked yet.
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