Twitch CEO Dan Clancy reveals streaming platform Twitch is not making profit, thanked Amazon for its support

The streaming titan Twitch is in a precarious position as of late. The platform hosts over 1.8 billion hours of content monthly with 35 million daily visitors. While this is a good indicator of the platform doing well, it has made them struggle with high operating costs. Due to these reasons, Twitch was recently forced to shut down operations in South Korea.

The company isn’t in an excellent financial situation either. Twitch has not been profitable since its acquisition by Amazon over nine years ago. The company’s revenue further drops every year. The number of active streamers dropped 20%, from 10 million to 8 million solely in the past two years. This worsening of their finances recently forced Twitch to fire over 35% of their employees.

A big reason for this drop in active streamers is the surfacing of viable alternatives to the platform, such as Kick. The Stake-based platform has signed many long-term Twitch creators to the platform. Adin Ross, xQc, Nickmercs, and Tfue have all signed deals with Kick. Twitch CEO Dan Clancy recently hosted a stream that elaborated on this situation.

Twitch CEO Dan Clancy talks about Twitch’s declining financial state

Twitch CEO Dan Clancy hosted a live stream on 11th January 2024 to address the recent mass lay-off of employees at the company. He mentioned that the platform’s goal was to run sustainably. However, Dan Clancy promises to be blunt and mentions that the company is still not profitable.

I’ll be blunt. We aren’t profitable at this point. Amazon has been extremely supportive of Twitch. A big thing fo being sustainable over time is ensuring we don’t lose money.

Twitch CEO Dan Clancy

Clancy makes sure to acknowledge Amazon for their support of the company. He further talked about how the company must stop losing money soon to run sustainably. He mentioned that caring for this was a huge part of his job. After all, that would ensure that the platform runs for a long term. Clancy also talked about providing streamers more resources to ensure they stick to streaming on Twitch.

This recent livestream by the CEO of Twitch has sparked a huge debate on the internet about the future of Twitch. Over its long existence, the company has fought off many competitors, such as Rumble, Mixer and Facebook Gaming. However, with the company’s state in terrible shape, fans wonder if this is when Kick can take over as the number one streaming platform.

In case you missed it:

• “You f*cking weirdo,” Onlyfans model Sam Frank disrespects her boyfriend N3ON on camera, calls him ‘cuck’
• When is the Fortnite X Dr Who collaboration coming out?

Stay Updated!

Join our newsletter to receive exclusive updates and curated insights directly to your inbox.

Subscribe NOW