Twitch has confirmed an increase in the cost of channel subscriptions for the first time with the price hikes set to apply from next month.
The Amazon-owned streaming platform released a blog post on Tuesday 20 February detailing the reasons for the change, the first-ever time subs have been raised.
By the end of next month, Tier 1 subscriptions will increase in the United Kingdom, Canada, and Australia, whilst Turkish customers will see higher costs across all three tiers.
There has also been an indication of a price rise to follow in the United States although nothing has been confirmed at present.
Mike Minton, Chief Monetization Officer stated: “Twitch streamers rely on our monetization tools to reach their goals and build their communities. Subscriptions are one of the most important ways that viewers support their favorite channels,” he said.
“We have not increased channel sub prices since their inception, and many markets saw reduced prices in 2021. This year we are updating prices in several countries to help streamer revenue keep pace with rising costs and reflect local currency fluctuations.”
Starting March 28, we’re updating sub and gift prices on web in Australia, Canada, the UK, and Turkey.
We’ll be live today, Feb 20 at 10am PT on Twitch to discuss the change and You can learn more about the decision and details in our blog post:https://t.co/ejkPzMXVgK
— Twitch Support (@TwitchSupport) February 20, 2024
The company advised existing subscriptions will automatically renew at the new rate, with users to be emailed about the upcoming change.
News of the modest rise does not come as a surprise, following Twitch CEO Dan Clancy’s remarks last month that the service was not profitable, just days after job cuts were confirmed, affecting around 500 people.
On losing 35% of the platform’s workforce, the CEO commented:
“In terms of making the decision, we need to ensure Twitch is the right size so we can be here for a long time.”
“We have a very important mission. It’s critical Twitch is not just here today, tomorrow, but 50 years, 100 years from now. Our job is to run Twitch in a manner to ensure its prosperity and that it can be here for the communities you’ve built.”
The communication from Twitch intimated there would be no planned increases in the price of Tier 2 or Tier 3 subscriptions or gift subs in Australia, Canada, or the UK.
“Subscriptions are one of the most reliable ways viewers can support the streamers they love,” added Minton.
“We are increasing subscription prices to drive more revenue to our streamers and help make streaming a more sustainable business for them.”
There was a hint of further price changes for other countries later in 2024, including the US. In a recent Twitch stream, with Minton present, a question was put to him regarding increased costs for American subscribers.
“Let me say it this way: probably yes,” he replied. “Exactly what it will be is maybe still an open question.”
United Kingdom
Current Price – £3.99
New Price – £4.99
Australia
Current Price – A$7.99
New Price – A$8.99
Canada
Current Price – C$6.99
New Price – C$7.99
Tier 1:
Current Price – TRY9.90
New Price – TRY43.90
Tier 2:
Current Price – TRY19.99
New Price – TRY87.90
Tier 3:
Current Price – TRY49.99
New Price – TRY215.90
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