Google buys Twitch.TV for $1 billion

by ohurcool • 25 Jul 2014, 20:05 • Journals
QuoteGoogle has signed a deal to buy game-livestreaming firm Twitch for $1 billion, confirmed sources familiar with the matter.

We don’t know everything about this deal, such as when it will be announced and the exact purchase price. We do know that Twitch investors who participated in past rounds are pleased that they will be getting significant returns that are multiple times the amount they originally invested. The deal underscores the value of live Internet streaming and the rise of competitive gaming as a spectator sport — something that draws millions of viewers, can offer prize pools that surpass pro golf’s marquee events, and provides a multibillion dollar opportunity for advertisers.

Google and Twitch declined comment. Both companies happen to be speaking at our GamesBeat 2014 event in September. This deal was first cited by unnamed sources from Variety said back in May that Google had made an all-cash offer and that the deal could be announced soon.

Google’s YouTube division is reportedly in charge of the acquisition, which would represent a significant transformation of YouTube’s business. Google acquired YouTube in 2006 for $1.65 billion.

San Francisco-based Twitch enables people to broadcast their own gameplay sessions on the PC, Xbox One, or PlayStation 4 to online viewers. It enables both competitive gamers and average players to gain fleeting fame by entertaining those spectators, who sometimes number in the millions. In March, Twitch represented 1.35 percent of all Internet traffic, according to Sandvine.

Twitch has more than 50 million monthly active users and more than 1.1 million members who broadcast videos each month. Back in June 2011, Twitch had just 3.2 million monthly active users. Twitch also distributes shows from partners including CBS Interactive’s GameSpot, Joystiq, and Destructoid, all gaming-news sites. More than 13 billion minutes of video are watched per month on Twitch.

YouTube is the No. 1 platform for Internet video, serving more than 6 billion hours of video per month to 1 billion users worldwide. But most of those videos are uploaded.

Twitch began in June 2011 by Justin Kan and Emmett Shear, cofounders of Justin.tv. The site was one of the first to host livestreams, or real-time videos of something that was happening at that moment. Shear is still CEO of Twitch.

Twitch has raised about $35 million from Bessemer Venture Partners, Alsop Louie Partners, WestSummit Capital, Take-Two Interactive Software, Thrive Capital, and Draper Associates.

http://venturebeat.com/2014/07/24/googles-1b-purchase-of-twitch-confirmed-joins-youtube-for-new-video-empire/
Comments
38
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v1rkeS 25 Jul 2014, 21:09
nooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo
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Snatixx 25 Jul 2014, 21:10
So what does it change in the end?
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IceQ 25 Jul 2014, 21:16
Twitch accounts converted to/merge with Google+ accounts.
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Snatixx 25 Jul 2014, 21:18
Ok worth 1$ billion.
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IceQ 25 Jul 2014, 21:53
QuoteTwitch has more than 50 million monthly active users and more than 1.1 million members who broadcast videos each month. Back in June 2011, Twitch had just 3.2 million monthly active users.


Seems like a good deal.
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RIp 25 Jul 2014, 21:30
Google pourra encore plus te baiser la gueule et spammer de pub et tout savoir sur toi encore plus qu'avant. Voila
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Provok 25 Jul 2014, 22:42
ça va Google c'est moins pire que Facebook
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RIp 25 Jul 2014, 22:43
ils ont une alliance secrete avec les illuminati
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LeFrancis 27 Jul 2014, 12:23
nous sommes les 99%
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kaze 28 Jul 2014, 12:48
CEO de FB/google = juif

COMPLOT MONDIAL NARVALO
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ohurcool 26 Jul 2014, 04:15
Google is one step closer to owning the entire internet!
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mamouth 28 Jul 2014, 08:25
Tu ne pourra plus mettre de la musique ou presque pas du coup ^^
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RaNA 25 Jul 2014, 21:27
I swear there was already a post about this posted by someone else earlier ?
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slajdan 25 Jul 2014, 21:35
1-2 years ago jtv/twitch was on the brink of bankruptcy, so good comeback
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RIp 25 Jul 2014, 21:36
google will buy human's lifes in 3 years
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adetonian 25 Jul 2014, 23:16
Everybody has a price I guess :P
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mama 25 Jul 2014, 23:23
google = skynet
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crook 26 Jul 2014, 00:02
Maybe I'm a sadist, but I'd love to see Terminator happen.
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Oxy 26 Jul 2014, 02:21
No, that just makes you a misanthrope.

Join the club.
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crook 26 Jul 2014, 04:07
I guess we don't have a clubhouse?
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Oxy 26 Jul 2014, 09:30
Unfortunately we aren't the brightest, with that being said. We do, it's being regularly maintained by the lesser plebs, though, it really has no use other than looking pretty.
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dinev 26 Jul 2014, 01:08
1 fucking billion for twitch.tv?

yeah...paper-money isnt worth shit anymore i guess
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MerlinatoR 26 Jul 2014, 09:21
I was surprised at the low amount compared to other companies that have been sold in the past tbh
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sani 26 Jul 2014, 09:52
could've been own3d :|
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msh100 26 Jul 2014, 13:27
No it couldn't ;D
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mamouth 28 Jul 2014, 08:25
This is not new.
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ohurcool 28 Jul 2014, 17:13
It is. Although the deal was first revealed in May, it wasn't "confirmed" until a few days ago.
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mamouth 1 Aug 2014, 21:31
You're playing with words
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