In a move that has sent shockwaves through the streaming community, Twitch has decided to cease its operations in Korea by February 27, 2024. This marks the end of Twitch’s presence in the Asian nation, affecting prominent streamers like Faker and a vast audience of viewers.
The Reason Behind the Exit
Dan Clancy, the CEO of Twitch, cited the prohibitively high operational costs in Korea as the primary reason for this decision.
Despite attempts to reduce expenses, including experimenting with a peer-to-peer model for streaming quality and limiting resolution to 720p, network usage costs in Korea remain remarkably higher – nearly ten times more – compared to other countries.
These financial challenges have resulted in significant losses for Twitch in Korea, leading to the conclusion that sustaining operations is no longer viable.
Support for the Affected Community
Twitch is committed to supporting the impacted community, particularly streamers, in transitioning to other streaming platforms within Korea. The company plans to assist in moving their communities and offer support during this transitional period.
Unique Circumstances in Korea
Clancy emphasized that this situation is unique to Korea due to the insurmountable operational costs. He expressed gratitude to the Korean community for their support and contributions to the platform over the years.
Q&A Sessions for Transparency
To provide clarity and address concerns, Twitch has scheduled Q&A sessions on its channel. Clancy will be available to answer questions from both the Korean community and the international audience, demonstrating Twitch’s transparency and commitment to its user base.
Concluding Remarks
Twitch’s exit from Korea is a significant event with far-reaching implications for streamers and viewers. The decision, driven by financial challenges, highlights the complexities of operating in different global markets. Twitch’s efforts to support its community through this transition reflect their dedication to their user base.