Streaming Showdown: Twitch Faces Off Against Disgruntled Streamers On Ad Policy

Twitch Finally Apologizes To Streamers After Boycott

On Tuesday, the 6th of June, Twitch released new guidelines for branded streams. The new guidelines detailed what type of content was allowed in such streams and what was not.

The new rules evoked a reaction from Twitch faithful more so streamers who were not at all pleased with the updates.

The new guidelines, which are set to go into effect on July 1st, state that on-stream logos must be reduced to 3% of the screen space and that burned-in video, display, and audio advertisements are no longer permitted.

The following are permitted on branded streams: product placement, chat links, discussion about/unboxing of products, and participation in sponsored games.

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The new guidelines also state that streamers have to disclose when their stream contains branded content. It was also disclosed that failure to comply with this rule will result in disciplinary actions against the accounts at fault.

Said disciplinary actions include suspension and even permanent banning from the platform.

Following the news, streamers bemoaned the changes on several platforms including Twitter and Twitch. Some of these streamers include Asmongold who streams massive multiplayer online game (MMO) content.

In a tweet, he said, “I don’t say it lightly but I think this is a legitimate situation where streamers should consider boycotting Twitch or moving to other platforms. Making common and harmless forms of advertisement literally against ToS so Twitch can monopolize more of streamers’ income.”

Asmongold’s sentiments were shared by many online and more and more expressed their outrage. As the controversy grew, Twitch took to Twitter to explain its decisions regarding the policy.

“Today’s branded-content policy update was overly broad,” it said. The social media further expounded on the policy in a Twitter thread viewed by over 18 million people.

“We do not intend to limit streamers’ ability to enter into direct relationships with sponsors, and we understand that this is an important part of how streamers earn revenue,” Twitch said.

The company also disclosed that it would be rewriting the new policy. At the moment it is unclear which parts of the policy will be removed, altered, or changed.

So Why Are Streamers Enraged By The Policy?

The new rules suggested by Twitch have caused concern for Twitch streamers. This is mostly because of the effect they will have on earnings from the platform.

The new rules restrict streamers from embedding ads, audio, video, or otherwise, directly into their streams. The problem arises as a major part of streamer revenue s from ads from sponsors.

However, streamers typically embed these ads into their streams so that they are visible at all times. So if they are not allowed to embed ads, sponsors will end business with these streamers.

Charity events on the platform such as Games Done Quick also have a cause for concern. Streams from such events rely heavily on logos that fill the majority of the screen. However, as per the new rules, any logos on the screen are limited to just 3% of the screen size.

However, even after Twitch announced they would be rewriting the guidelines, some streamers claim there is no way back to the platform for them. One of these streamers according to the BBC is UK streamer Marco, known online as Stallion.

Stallion said, “I get it that it’s a business, but it’s like there’s no thought about the people who are on the platform… it just feels like it’s all about the money now and nothing to do with us.”

Twitch pays streamers 50% of the revenue generated from subscribers. However, some of the high-profile streamers are rewarded with a 70-30 revenue split.

However, one thing Twitch had going for them, at least as far as streamers are concerned, is that the company does not take any share of what streamers get from ads and donations.

In comparison, YouTube keeps just 30% of revenue from a Channel’s subscriptions. However, YouTube also takes 30% of the donations from fans.

“This is the push that I needed to get me off this platform. This has been something that’s been in my mind for the last two years… the problem with Twitch is it has next to no discoverability – it’s one of those platforms where if you’re not already at the top, you’re not going to be,” he added.