If you’re a gamer you are already well versed in Twitch and know the name Ninja like the back of your hand, but for most folks, mentioning either will make them say, “What, who?” and “Ninja’s are cool.”
Well, I mean - obviously that’s what they’d say because ninjas are cool (and by cool I mean, totally sweet!). And also, because - Ninja’s have real ultimate power!
But I digress.
So, what is exactly is Twitch and how does one make $10 million dollars on it?
Well, according to Wikipedia:
“Twitch is a live streaming video platform owned by Twitch Interactive, a subsidiary of Amazon. Introduced in June 2011 as a spin-off of the general-interest streaming platform, Justin.tv, the site primarily focuses on video game live streaming, including broadcasts of eSports competitions, in addition to music broadcasts, creative content, and more recently, "in real life" streams. Content on the site can be viewed either live or via video on demand.”
Um, okay. But where exactly did this Twitch thing come from?
Well, Justin.tv used to be a site where anyone could broadcast a video about … well, whatever they wanted. They idea was supposed to be - broadcast about life. And people did. And Justintv kept adding new content, eventually expanding and including all the good and bad content you can expect when you allow anyone to broadcast anything they want. Then, in 2011 Justintv added a “broadcast about your gaming experience” section, called - Twitch.
And Twitch was popular. I mean, hugely, mind bendingly popular. Far more popular than anything else on Justintv. Suddenly, Justintv exploded upwards of 45 million unique monthly viewers. The company saw opportunity and rebranded as Twitch Interactive and most of (if not all of) the content outside gaming - was shut down.
And then, megacorporation Amazon snapped up Twitch Interactive for a measly $970 million. Now, Twitch has about 27 thousand partner channels, approx. 2.5 million broadcasters, approx. 15 million daily users with about 100 million monthly viewers.
Which means it was probably a $1 billion dollars well spent.
Okay. But how does it work?
Well, you or me, or anyone - create an account on Twitch and then you play games and stream them online. And Twitch broadcasts the game. Live. And folks can watch. And then folks can choose to give you money - so you play more games. Online. So that folk can watch. And give you more money. So you can play more games. Online. On Twitch. So folks can watch. And give you more money. So you can play more games. Online - you know what? I think you see where this is going.
Basically, Twitch provides the platform for you to stream games online. And if you’re good enough, or entertaining enough, or cute enough - you can build an audience. And your audiences pays you. Or not.
And you become a success. Or not.
But that’s how you make money (or not). And Ninja (Tyler Blevins) just happens to be the number one earner on Twitch. At one point Ninja had almost 250 thousand subscribers to his Twitch account. Most of which paid him $5. To watch him play games. Some quick math tells me - that’s $1,250,000. After Amazon and Twitch took their fee Ninja still cleared over $800,000.
He’s so popular- he has advertisers. Lots of them. He has merchandise. Lots of it. And he’s sponsored by Red Bull. He’s Red Bull’s official gamer.
Now, Ninja is an extreme example. Not everyone is as popular, or makes as much money as Ninja. But still. There is actually a thing now, that’s out there where you, or me, or your kid - can make $$ - by playing video games. And, I kind of love that.
And that's not ALL because of Twitch. But it mostly is.
From their website:
“Welcome to Twitch. We are a global community of millions who come together each day to create their own entertainment: unique, live, unpredictable, never-to-be repeated experiences created by the magical interactions of the many. With chat built into every stream, you don’t just watch on Twitch, you’re a part of the show.”