Amazon buys Twitch game streaming service for $970m

Amazon has bought Twitch, a live-streaming gaming network, for $970m, beating off rivals Google and Yahoo.

The firm raised $20m (£12.1m) in funding last September from game publisher Take-Two Interactive Software and firms including Bessemer Venture Partners and Thrive Capital. Twitch’s format, which lets viewers message players and each other during live play, has gained interest as one of the fastest-growing segments of digital video streaming, which in turn is attracting more and more advertising dollars.

“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,” said Jeff Bezos, chief executive of Amazon.

Investors have noticed Twitch's rapid growth, from some 3.2m players when it initially launched in 2011. Some of its most-followed players rake in six-figure salaries through a 50-50 split in advertising revenue, $5 monthly subscriptions to livestream channels, and even spontaneous donations from fans.

"We’re keeping most everything the same: our office, our employees, our brand, and most importantly our independence," Emmett Shear, CEO, said in a blog post. "But with Amazon’s support we’ll have the resources to bring you an even better Twitch."

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