Is Twitch Leaving Korea? Why is Twitch Leaving South Korea?

Twitch is an American video live streaming service that focuses on video game live streaming, including broadcasts of esports competitions, in addition to offering music broadcasts, creative content, and “in real life” streams.

Twitch is operated by Twitch Interactive, a subsidiary of Amazon.com, Inc. Due to excessively high network fees roughly ten times more than in most other countries that make it financially impossible for the platform to continue operating in South Korea, Twitch is withdrawing from the country.

Is Twitch Leaving Korea?

Due to the high cost of operating in South Korea, Twitch, the well-known live-streaming platform, is leaving the country. According to CEO Dan Clancy, Twitch finds it difficult to maintain its services in South Korea due to the country’s network fees, which are roughly ten times higher than those of most other nations.

Twitch has made the decision to shut down all operations in Korea on February 27, 2024, despite attempts to reduce expenses, such as restricting stream quality and testing new models. Since they won’t be able to make purchases or monetize streams on the platform after that date, this decision has an impact on both content creators and viewers.

Twitch intends to support impacted streamers in switching to alternative live-streaming platforms in Korea, such as YouTube and AfreecaTV. The company regrets making the difficult choice and acknowledges the impact on the Korean gaming community.

In order to facilitate the transition as much as possible, Twitch is open to working with other websites and is urging creators to share links to other platforms via Onsite Messages. The action is perceived as a reaction to South Korea’s exorbitant network fees, underscoring the difficulties faced by global tech companies that must operate under particular local laws and internet traffic charges.

Why is Twitch Leaving South Korea?

The main reason Twitch is leaving South Korea is the high network fees that are levied there. According to the CEO, Dan Clancy, these fees are roughly ten times higher in South Korea than they are in the majority of other countries.

The decision was made to shut down Twitch’s services in South Korea beginning on February 27, 2024, due to the unsustainable financial burden of operating in the country, despite Twitch’s efforts to reduce costs by testing new streaming models and limiting stream quality.

Due to the particular difficulties presented by the local laws and the “Sending Party Network Pays” (SPNP) internet traffic tax model, it is becoming more and more difficult for foreign tech companies such as Twitch to operate in South Korea at a reasonable cost.

Is Twitch Leaving Korea – FAQs

Why is Twitch leaving South Korea?

Because it is financially difficult for the platform to operate in South Korea due to network fees that are roughly ten times more expensive than in most other countries, Twitch is leaving the country.

When will Twitch cease operations in Korea?

On February 27, 2024, Twitch will cease its operations in South Korea.

How does the departure affect content creators and viewers?

Twitch users in Korea won’t be able to make purchases after February 27, 2024, nor can content creators monetize their streams.

What efforts did Twitch make to cut costs in South Korea?

Twitch experimented with limiting stream quality and testing new models in South Korea in order to save money.

How is Twitch assisting streamers during the transition?

In order to facilitate a seamless transition, Twitch is willing to work with websites and intends to assist streamers by utilizing Onsite Messages to send links to other platforms.

Is Twitch Leaving Korea? Why is Twitch Leaving South Korea?