YouTube to buy Twitch video game streaming service

YouTube to buy Twitch video game streaming service

Video game streaming site Twitch is reportedly in talks with YouTube for a $1 billion acquisition. The deal comes after Twitch received multiple offers from companies like Microsoft.

Twitch’s popularity has skyrocketed after its integration into gaming consoles like the PlayStation 4 and Xbox One. Many game developers use Twitch to announce important news or to engage their fans. Major League Gaming frequently use Twitch to broadcast e-sports tournaments for games like League of Legends. Last season drew in 32 million viewers, 8.5 million of which were concurrent viewers.

According to the Wall Street Journal, Twitch is the fourth highest peak internet traffic driver in the US. Twitch.tv even beats out video giants Hulu and Amazon.

With Twitch and YouTube, Google will control a significant market of online video. Twitch claims to have 45 million monthly users with more than 1 million users uploading video per month. Variety reports YouTube is preparing to challenge US regulators if the deal raises anticompetitive issues.

Source: Variety

Follow Lewis on Twitter @lewisleong

RELATED STORIES

Loading comments