Twitch lifts the $100k cap on Partners’ 70/30 revenue split, admits it was a “disincentive”

By 01/26/2024
Twitch lifts the $100k cap on Partners’ 70/30 revenue split, admits it was a “disincentive”

Twitch is adding a 60/40 revenue split for some streamers, and is lifting the $100k cap for streamers already on a 70/30 split as part of its Partner Plus monetization program.

It’s also opening Partner Plus to Affiliates, not just Partners, and as such is rebranding the program to just Plus Program.

For those not caught up, Twitch has been going back and forth on what cut it’s going to take from streamers’ revenue. The split used to be 70/30 (with streamers getting 70% and Twitch taking 30%) for all Partners. But, in September 2022, Twitch upped its own cut to 50%, something that—as you can probably guess—didn’t go over too well with streamers.

Tubefilter

Subscribe to get the latest creator news

Subscribe

Around a year later, Twitch unveiled the Partner Plus Program, where Partner streamers could go back to a 70/30 split if they met certain criteria. Another notable part of that program was the $100k cap: Twitch would only pay out 70/30 until streamers made $100,000. After they hit the $100k ceiling (which is a cumulative lifetime ceiling, btw, not annual) the split went back to 50/50 forever.

Now, Twitch CEO Dan Clancy admits the $100k cap “limited the earnings and growth opportunities for impacted streamers and served as a disincentive.” That makes sense, considering the more successful streamers were and the more money they earned, the closer they crept to that $100k cap, and the closer they were to having to give Twitch an additional 20% of their revenue for no additional benefit.

Based on that feedback from streamers, Twitch is eliminating the $100k cap, “effective immediately,” Clancy said in a company blog post. Streamers in the Plus Program will now get 70% of their revenue regardless of how much money they make—at least, for the foreseeable future.

Twitch thinks these changes will let three times as many streamers join the Plus Program

As for the 60/40 split we mentioned, Twitch is adding another tier to the Plus Program.

To understand this change, you need to know about the Plus Program’s points system. At launch, the program required Partners to earn 350 points per month to qualify for the 70/30 split. Points come from channel subscriptions: Tier 1 subs give one point per month, Tier 2 subs give two points, and Tier 3 subs give six points. (Amazon Prime subs don’t count.)

Now, Twitch is lowering the points requirement for the 70/30 split from 350 points to 300.

But even if streamers can’t earn 300 points, they can join the Plus Program: The new tier lets streamers (Affiliates or Partners) who earn at least 100 points for three consecutive months switch to a 60/40 split.

Anyone not in the Plus Program will continue getting 50% of their Twitch income.

Clancy said Twitch expects these changes “will allow three times as many streamers to have premium net revenue share rates.”

Prime gaming fixed payouts

However, not all the revenue news he announced will result in more money for streamers. Twitch is also making one last change: switching to a fixed rate payout system for Amazon Prime subscriptions.

Historically, Twitch has paid out Amazon Prime subscriptions (the one free Twitch channel sub every Prime subscriber gets each month) at the same rate as any other Tier 1 sub. To make things more “sustainable,” though, it’s now “transitioning to a fixed rate model for Prime Gaming subs based upon the country of the subscriber,” Clancy said.

Under the new system (which kicks in June 3), if someone subscribes and they live in the U.S., the recipient streamer will get $2.25. If the subscriber lives in the U.K., the streamer will get $1.80. In Singapore, $1.30. In Bangladesh, $0.95.

Clancy said that for most streamers, “this change will not have a major impact on their revenue.”

“While any decrease will feel disappointing, the difference between what streamers receive today for a Prime Gaming subscription and what they will receive after the change to fixed rates is less than 5% in the vast majority of countries,” he said.

To see a complete list of the different fixed rate payouts, go here.

Subscribe for daily Tubefilter Top Stories

Stay up-to-date with the latest and breaking creator and online video news delivered right to your inbox.

Subscribe