Entertainment

Ludwig criticizes potential Twitch sub paycuts that hurt small streamers

Streaming giant Ludwig “Ludwig” Ahgren has taken to Twitch about the reported changes they’re making to how revenue is shared between subscriptions, calling it “insane,” while also noting how much some streamers are doing will lose.

As Twitch has grown in size in recent years, it has become a legitimate way for content creators to make a living – and then some. Most streamers that have an affiliate deal with Twitch have a 50/50 split on subscriptions. So a $5 subscription gets them $2.50. Some streamers also have more lucrative deals with a higher split.

In recent years, however, Twitch has drawn the wrath of streamers with the introduction of more advertising and localized pricing for subscriptions — with streamers losing even more on their sub-split.

The Amazon-owned platform is also reportedly planning further changes by getting rid of the higher split and Introducing even more ads. And according to Ludwig, they could go even further.

Twitch Partnership Changes
Unsplash: @thomasdebraekeleer/Twitch

Rumored changes to the Twitch partnership include reduced sub-earnings, more advertising, and the removal of exclusivity.

The former Twitch star, who jumped to YouTube back in November, discussed the changes in his April 28 report Videoshowing how much the reported changes will impact smaller streamers.

“They’re considering taking people who are currently earning 70% on each subscription and just dropping it down to 50%, which is pretty crazy,” he said. “That’s a 20% pay cut for thousands of streamers. That’s a lot of people who are going to lose a lot of money.”

Ludwig noted that the changes will not affect some of the top streamers like xQc and Mizkif as they are already making obscene amounts. However, he added that smaller streamers, taking Smash Ultimate commentator CONEY as an example, which has about 2,000 subscribers and could go from about $84,000 a year to $60,000 by paying just $1 a month per subscription loses, to be “slammed”.

The YouTuber streamer also suggested that Twitch may soon be scrapping Twitch Prime as they look for other ways to increase profitability and stop the “bleeding” of money.

“Maybe there will be a day when they lose Twitch Prime,” he added. “They know internally that fire bells will ring when they do that, that’s fine with the dog sitting around the fire meme. That would not go down well.”

While Ludwig noted that Twitch retains some advantages over YouTube, things are clearly not rosy on the Amazon-owned platform.

https://www.dexerto.com/entertainment/ludwig-slams-potential-twitch-sub-paycut-hurting-small-streamers-1813820/ Ludwig criticizes potential Twitch sub paycuts that hurt small streamers

Emma Bowman

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