Cloud company
Amazon has acquired the Twitch video-game streaming site. The move comes in the wake of news that had previously suggested the site would be purchased by Google's YouTube. The cost of the acquisition was reportedly a cash payment of $970 million.
Twitch is an unusual gaming site in that it allows people to watch video games live as they are being played by others. It also allows users to upload video clips of the games they have taken part in. Established in 2011 under its former name of Twitch.tv, the site currently broadcasts games to around 50 million viewers per month. The site provides around 250 million hours of content, which is provided by more than 1 million providers. Its services are leveraged by gaming platforms such as the Microsoft Xbox One and Sony PlayStation 4.
The success of Twitch is a testament to the success of online gaming. Amazon's purchase underscores the industry's belief in online gaming's future. Amazon has a history of dabbling in the gaming arena, establishing its own gaming studio in 2012 and producing mobile games and games for Facebook. In February of this year Amazon also acquired Double Helix Games, makers of Killer Instinct.
Amazon is already a global key video game vendor and the acquisition will help it maintain its position again sites like Netflix and YouTube. “Broadcasting and watching gameplay is a global phenomenon and Twitch has built a platform that brings together tens of millions of people who watch billions of minutes of games each month – from The International, to breaking the world record for Mario, to gaming conferences like E3. And, amazingly, Twitch is only three years old,” explained Jeff Bezos, Chief Executive of Amazon in statement on the company's website. “Like Twitch, we obsess over customers and like to think differently, and we look forward to learning from them and helping them move even faster to build new services for the gaming community.”
"We chose Amazon because they believe in our community, they share our values and long-term vision, and they want to help us get there faster," added Twitch's CEO, Emmett Shear. "We're keeping most everything the same: our office, our employees, our brand, and most importantly our independence. But with Amazon's support we'll have the resources to bring you an even better Twitch."
Is a website that allows people to post video clips of online video games really worth nearly a billion dollars? Let us have your views. Add your comments below.
