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Forget Google, Amazon Buying Twitch Streaming Service for More Than $1 Billion (Updated)

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Update:  It’s official – Amazon is buying Twitch for $970 million.

According to two sources of The Information, as well as a source of the Wall Street Journal, Google is no longer set to acquire Twitch, the livestream network for roughly $1 billion. Instead, Amazon is now the buyer, reportedly all set to sign the paperwork and announce the deal as early as today. 

The deal is reported to be worth more than $1 billion, as Amazon will look to take Google’s YouTube as well as Netflix head-on once the deal is made. Twitch has been the go-to site for gamers as of late, perfect for streamers who enjoy pasting a feed of themselves playing the latest video game titles.

There is no information available as to why Google backed out of the deal, but speculation leads to the theory that if Google purchased Twitch, there would no longer be any type of real competition in the livestream business.

If this story pans out, and Amazon does indeed purchase Twitch for more than $1 billion, you will surely hear about it once publicly announced.

Via: The Information (Subscription) | WSJ (Subscription)
  • Daniel

    Twitch isnt just about watching the games, its also about the commentary. I follow a couple channels and i don’t care for most of the games they play, but they are hilarious and very entertaining at 2 am when i am drunk and relaxing at home. Good commentary is what keeps me watching, not the games.

  • Chris
  • Leif Sikorski

    They could use it to promote and sell games. The biggest downside might be that any chance that we’ll see a good Twitch Android app with Chromecast support might be gone.

  • Spiderman

    Spiderman hates Twitch, so does Mary Jane.

  • David Foggia

    I watch DayZ on twitch a lot but in general I don’t find it fun to watch people play video games that I don’t have the money to buy

    But I hope amazon doesnt make twitch gay. Like just keep it the same don’t gay it up amazon

  • Cael

    Someone needs to stop Amazon.

  • regkilla

    So Justin.TV got taken off for no reason?

  • markgbe

    I’m surprised to see so many people like to watch people play games. It’s difficult to fathom that there is a company worth this much money that specializes in this phenomenon.

    Having said that, as a dayZ player, it is fun to occasionally watch people’s quick 1-2 min clips of funny encounters, but 99% of the videos i have watched were on youtube. So….. yeah.

  • http://blog.jestermx6.com/ George Fayad

    After seeing what amazon did to woot.com, my vote goes to google. Or just…don’t sell.

  • Maxim∑

    Good, they already have youtube

  • AlexKCMO

    I think Google backed out because I don’t think twitch’s model is compatible with YouTube/Google. There’s lots of music used in streams that would be subject to YouTube copyright abuse and video of games that would fall in the same place. Imagine I make money from a stream, and you now shut down my stream because the video game I’m playing gets flagged for copyright by Sony. I’d probably find somewhere else to stream.

    I thought this was an interesting purchase and I was really curious to see how Google would change to adapt to twitch, I’m guessing they saw that they couldn’t.

    • Kate M. Johnson

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  • Notus

    Wow interesting move. As usual MS is sleeping on the job.

    • xsirxx

      I would REALLLYYYYY hate Microsoft to buy them, I wasnt even happy that Google was going to even though I like Google. But I agree 100%, Microsoft is flat out asleep at the wheel. 1 billion for Twitch is a fantastic deal during a time when ONE App will go for billions. Microsoft desperately needs a company like Twitch and lets face it, if they build it from scratch – it will be absolutely crap.

  • Nathan Borup

    I really hope Amazon gets rid of this muting problem that twitch has introduced

  • gadget_hero

    Amazon could really make a real YouTube competitor if it picked up Twitch as well as Vimeo, no doubt they could scale it really nicely in AWS.

  • guest

    The Twitch people are cool and I have worked with them during many E3 events but I cant see the big draw to this. I play games but I do not want to watch people play.

    • koopadoop

      A lot of people like watching entertaining people play entertainment (we watch other people play game shows and sports all the time).

      Youtubers with popular channels usually twitch stream all the time and then edit the stream to put on youtube.

      And then you have professional gamers who stream and it is nice to see their decisions and play style in real time.

    • AlexKCMO

      I generally feel the same, but there are some interesting options on twitch. For instance, there was a guy last year (no idea if he’s still doing this), who would stream him speed running Mario 64. The goal was to get all 120 stars as fast as possible. I think he did it in like 3 hours or something ridiculous. Then another guy beat him, and he had to beat the record. Watching him go through was incredible.

      There’s another site that uses twitch, called saltybet. They have a MUGEN emulator running every character ever made that has random matchups, and you can place a bet (with fake money, or use real money to buy more fake money – which is stupid) and see what happens. It makes for some great entertainment.

      More mainstream, is DOTA 2 recently had their grand championships (called “The International 4″). For gamers who didn’t have access to the DOTA 2 client, there was access on twitch. The game was also shown on ESPN!

      I normally won’t watch streaming, but I think it’s a generational thing. It’s definitely an emerging market, but I don’t think twitch was compatible with Google/YouTube’s business model which is why they backed out.

    • Bryan Mills

      Saw a dude get swatted. Badass, but they also found his marijuana stash. A good lawyer will help that though.

      • koopadoop

        Wait, what?

        So an anonymous person calls a police department, gets them to break into a house without a warrant, and they can search the house despite the reason they are there was a lie?

        So any cop can just anonymously call their own department and skip the warrant process all together?

        • Bryan Mills

          This dude was streaming, some punk kids called the cops making a bomb threat. They storm the house, finding no bombs obviously, but his marijuana.

          He was charged with possession of between 30g and 500g or whatever.

          I always thought that would be inadmissible in court because they weren’t there because of a drug complaint, and they didn’t know about it before. It’s effed up, but we’ll see what happens

        • Phil D

          only in the US ..

    • JSo

      It’s never fun to WATCH people play games. I don’t know why there are so many people who make YouTube channels dedicated to this.

      • koopadoop

        Because it is fun to watch people play games.

        • JSo

          It’s more fun to play the games

          • koopadoop

            You can’t always play games. Sometimes it is fun to watch some videos while eating lunch.

            It also is a big marketing opportunity for games as a lot of indie games I might not have bought were purchased after watching others play it.

            Gameplay is always more convincing than screenshots and a trailer.

          • JSo

            I’ll watch some gameplay videos to see if the game is worth playing. But I won’t sit and watch someone else play a whole game. Especially if it comes with annoying commentary where some guy is trying to be funny.

          • zurginator

            I like it for RTS games like SupCom and Planetary Annihilation. It lets you watch the strategies which better players employ, why they choose this over that, etc.

          • flosserelli

            If you can’t get away from PC/console games long enough to eat lunch, then you have a serious problem. And before you say “Well the only time I can watch is during my lunch”…if you can’t make it through a workday without playing or watching others play video games, then I’d say you have a problem.

          • koopadoop

            You are so mad bro.

            I’d say you have an anger problem.

            “Boohoo, you are entertained by other people instead of being entertained by trolling disqus, waaaaaaaaaaaaah.” -flosserelli

      • Bryan Mills

        Most can’t afford $400+ $60 every time. I’m looking at $600 alone this year. Damn PS4.

        That’s one weekend of work though, so I’m not too worried.

        • koopadoop

          I bought a PS4, played it once, went back to PC.

          • Bryan Mills

            I don’t feel like building a PC, or I would. Throw some Titans in there if I did.

          • koopadoop

            Building air cooled is just like legos.

            Watercooling is work though, hated all the tube cutting and management.

        • Mech_Engr_09

          LOL one weekend. Your arrogance offends me. I’ve seen the people at best buy and none of them are/deserve to make that much. It must be easy saving up for a PS4 when you live in your mom’s basement and work at best buy /s
          Get over yourself. No one on this site likes you. I made over $1000 this weekend, but I’m not bragging to anyone except you. I’m an engineer and I deserve to make that much, not like some idiot who can’t finish college like yourself.

          • xsirxx

            Do you have proof he went to college? I dont believe you Mech_Engr_09.

          • Mech_Engr_09

            Yeah what was I thinking. He never got into any in the first place. My bad lol.

          • Bryan Mills

            I’m about 2 semesters left then I’ll jump too $30/hr. I can brag all I want.

          • Bryan Mills

            I don’t work for Best Buy. But please, continue your ignorance.

          • Mech_Engr_09

            I didn’t know mcdonalds paid it’s employees that much. I’m sure your degree in hospitality management will help you get the management spot at mcdonalds you’ve been dreaming about. Think about it, all the burgers and diabetes a man could ask for.

          • zurginator

            Hey now, don’t lump him in with the rest of us whom don’t own a fancy piece of paper.

          • creed

            “I deserve to make that much”, lol. You are the idiot.

        • JBartcaps

          DESTINY

          • Bryan Mills

            Nah, I through up my Ghost Edition on eBay earlier. Played the beta and wasn’t interested.

            DriveClub, Alien Isolation, Metro Redux, Far Cry 4, DA 3, AC Unity, Shadow of Mordor, The Evil Within, then early 2015 is going to rape me harder. The Order, Batman, MGS V, Dying Light.

          • JBartcaps

            You forgot Destiny :)

          • https://www.heartbleedbug.com/ Intellectua1

            A definite buy, plus Madden 15, Far Cry 4, the new Assassins Creed (even though I’ve never finished any of them) The Order 1886, and Uncharted are my years line up

        • Mech_Engr_09

          Oh and there’s honestly no way in hell you work hard consider the fact that you’re on this site literally 24 hours a day. It’s rather pathetic. You should find a new site to troll and quit making all these accounts on here. You’re stupidity shows through each account you make and it’s not hard to tell it’s you.

        • E. Batista

          I make more than that… In a MONTH!

      • Thardorin

        Wouldn’t say it’s never fun to watch people play games. Never is too strong of a word. It depends on the streamer, and depends on the game. It’s also a good way to see new games to make a decision on whether they are worth buying.

        • JSo

          Well I guess I have never seen a streamer I felt the need to watch.

        • https://www.heartbleedbug.com/ Intellectua1

          The second part of your comment is spot on. I don’t use this service to watch people play games I use it to determine if a game is worth buying.

      • HotRodJohnson

        Imagine your kids watching games. Would it be fun for them to watch someone playing games. I have kids and I can answer that question. Twitch is for the babies.

      • Prince Campbell III

        I like to watch people play games. It gives me a chance to see if I want to buy a certain before actually spending my money on it. Plus the people playing give there honest opinion about, so people like me don’t make the mistake of getting a game that we aren’t going to like and having to take it back and not get the full value.

    • Aaron C

      There are some games I’d love to play that I just wouldn’t invest the time or money in. DayZ, for instance. I know I’d get my butt handed to me in a near instant, but it sure is fun watching other folks play.

    • michael arazan

      Britain has a world series of Gamers Contest going on right now in Coventry, people sit there for hours watching the Best Gamers play. Most people don’t want to watch the average Joe play a game, but special people who are good at gaming and put effort into it can be fun to watch like an athlete in sports

  • Bryan Mills

    Good to see Amazon is getting in on the fun and acquiring some companies.

    • koopadoop

      Amazon owns a lot, you just don’t think about it because they don’t force Amazon+ accounts to view SeaNanners videos.