Amazon Swoops in and Buys Twitch
In a recent turn of events, Amazon has acquired Twitch for $970 million. Twitch’s CEO released a statement confirming that the streaming service has been purchased by Amazon “because they believe in our community, they share our values and long-term vision, and they want us to help us get there faster.”
And the most shocking part of it all was that we thought the deal between Twitch and Google was signed, sealed and delivered. According to reports by Forbes however, the deal presumably didn’t go through because Google cancelled it due to potential anti-trust worries.
Google seemed to be worried that problems would arise in getting approval for the contract as YouTube already seemed to be equipped with Twitch’s offerings – streaming capabilities for gaming sessions. Eventually, the two companies disagreed over the breakup fee if the deal went through. This proved too much for Google and well, Amazon see, Amazon like, Amazon take.
Twitch is a platform that regularly hosts big-time gaming tournaments, and the service has recently dabbled in live concerts, giving famous artists a platform they have direct control over. At over 1 million broadcasters, the streaming service has become a hotspot for gamers, publishers, media outlets and more.
Twitch originally launched as an offshoot of Justin.tv, but eventually took over as the dominant platform. We’re extremely interested to see what exactly Amazon plans to do with the company. No plans have been heard about any tweaks or changes happening but you never know, Amazon might just use Twitch to enter an area of the tech industry it has yet to experiment in.