“Google Seals Deal to Buy Twitch for $1 Billion” via Variety.
Twitch was created by the founders of Justin.tv, a website designed for users to “lifecast” themselves with online video. After a growing number of videogamers began using Justin.tv to broadcast their gameplay, the company launched the dedicated Twitch.tv service in mid-2011.
Privately held Twitch has raised about $35 million in funding — meaning the $1 billion deal is a significant windfall for its backers. Investors include Bessemer Venture Partners, Alsop Louie Partners, WestSummit Capital, Take-Two Interactive Software, Thrive Capital and Draper Associates. Twitch Interactive, which includes Justin.tv, has about 130 employees.
San Francisco-based Twitch says it has more than 45 million monthly users, who watch an average of 106 minutes of video daily. Users can upload and watch free, live gameplay videos from Microsoft Xbox One and Sony PlayStation 4 consoles. Twitch generates revenue through ads and as well as subscriptions, with about 300,000 paying members.
A TechCrunch Commenter from 3 years ago on this post by Justin Kan founder of Twitch:
So how many years have you wasted chasing Startup dreams? four? five? WTF! Fuckoff, go back to Yale and stop wasting your time around PG!
I be at the time, Justin and team (mostly all Yale alumni) read that comment hunched over a bowl of ramen and tap water and it might have hurt a little. Even with thick-skin, these sort of comments hurt especially when you’re pouring everything into a dream with a very tiny margin of payout.
Justin Kan, Michael Siebel, Kyle Vogt, Emmet Shear and others put a lot into Justin.TV at the time. I was one of the first life-casters along with iJustine. I eventually used their platform to launch Adam’s Block and Siebel especially was very supportive of the plans. Eventually, it was clear we’d have to build our own service but I’m really happy with what Justin and team accomplished and their openness toward innovation.
The only circumstantial thing I can say about the team and keeping in mind, I don’t know the inner-workings is that my friend Tia-Marie who was a lowly paid community manager @ Justin.TV back in 2009 pushed hard for video game channels allowing creators to stream their live game-plays. The founders weren’t supportive of it and didn’t see the value (again, that’s just what I heard) and this was before Machinima, Twitch or YouTube Live. The gaming channels ended up being so hugely popular (long after Tia left) that Twitch was formed.
Justin.TV was for life casters, Social Cam was streaming mobile TV for life casters and Twitch was for gamers and now, in its 3rd iteration they’re finally finding an exit for all of their hard work in the last 5-7 years. I don’t think Tia or her colleagues are owed some big payout for their work but it’s my understanding that video game streaming wasn’t a focus there, social cam was and it would be cool for her to get some recognition for pushing so hard way back in the day.
Other than that, the entire team at JTV deserves a huge high-five. Great work guys.