Is Twitch Closing Operations in Korea? What's Behind Twitch's Decision to Halt Services in Korea? - SarkariResult

News: The renowned American video streaming platform, Twitch, has announced the cessation of its services in South Korea. This move comes in response to the considerable operational expenses, notably the exorbitant network fees in Korea, which are ten times higher than those in the majority of other nations.

Assistance for Streamers

Twitch’s CEO, Dan Clancy, conveyed his regret over the necessity of this difficult choice, emphasizing the financial hurdles that render the continuation of services in the country unviable. Consequently, Twitch streamers in Korea will no longer have the opportunity to generate income through the platform. Despite this, Twitch has committed to supporting them in transitioning to alternative live-streaming services. The platform is actively engaged in discussions with various services to facilitate a seamless shift for the impacted streamers.

Prohibitive Costs and Larger Industry Issues

The cessation of Twitch operations in Korea is indicative of a broader challenge within the country’s streaming landscape, marked by issues arising from steep network usage fees. This predicament extends beyond Twitch, as local internet providers have engaged in disputes with foreign entities such as Netflix regarding these fees. Twitch’s choice to discontinue its services in Korea is a direct outcome of the substantial costs involved in sustaining the platform in the country.

About Twitch

Established in 2011, Twitch initially centered its focus on live-streaming video games, eventually expanding its scope to encompass esports, music, creative content, and real-life streams. The platform experienced widespread popularity, surpassing its predecessor, Justin.tv. By 2014, Twitch had risen to become the fourth-largest contributor to peak Internet traffic in the United States. In a significant development, Amazon acquired Twitch in 2014 for $970 million, and by 2015, it boasted over 100 million monthly viewers. As of October 2023, Twitch featured more than 27,000 partner channels and ranked as the 37th-most-visited website globally. However, grappling with the exorbitant operational costs in South Korea, Twitch ultimately decided to terminate its operations in the country in 2024.

Impact on Streamers and Community Members

Twitch’s choice to cease operations in Korea primarily stems from the exorbitant network fees prevailing in the country, which are ten times higher than those in most other regions. The financial burden posed by these steep fees rendered it unsustainable for Twitch to persist with its services. Despite implementing various cost-cutting measures, the operational expenses in Korea remained prohibitively high. This decision has repercussions for all streamers and community members in Korea, as they will no longer have the option to designate Korea as their country of residence on Twitch.

Transition and Support

The closure of Twitch in Korea aligns with a broader trend, as streaming platforms grapple with issues related to network usage fees in the country. Local internet service providers have accused foreign entities like Twitch and Netflix of causing disruptions and have sought additional costs. For Twitch streamers in Korea, this shutdown signifies a potential loss of income through the platform. Nevertheless, Twitch has committed to aiding them in transitioning to alternative live-streaming services. The company is presently engaged in discussions with various services to ensure a seamless shift for the impacted streamers.

The closure of Twitch operations in Korea is a response to the elevated operating costs, particularly the exorbitant network fees. While this decision is disheartening, it is deemed essential for the financial sustainability of the platform. Twitch remains committed to assisting streamers in Korea with a smooth transition to alternative platforms, ensuring they continue to have opportunities to earn money through live-streaming..

FAQs

Q: Will Twitch streamers in Korea lose all their followers?

A: No, Twitch streamers in Korea will not lose their followers. However, they will need to shift to alternative live-streaming services to continue their streaming activities.

Q: Can Twitch streamers outside of Korea still stream to a Korean audience?

A: No, following the shutdown of Twitch in Korea, streamers will no longer have the option to select Korea as their country of residence on the platform.

Q: What alternative live-streaming services are Twitch streamers in Korea considering?

A: Twitch is currently in discussions with various services to facilitate a smooth transition for streamers. The specific alternative live-streaming platforms being considered have not been announced yet.