- Youtube apparently paid Activision Blizzard more than 160 million dollars for the broadcasting rights of Overwatch League, Call of Duty League and Heartstone esports events.
In recent years, streaming platforms became one of the best platforms for marketing. Esports continues to grow substantially and companies are trying to jump on board. Twitch as we all know currently holds nearly 80% of the market for video game streaming. However, there are other platforms trying to grab a piece of the pie such as Mixer and YouTube Gaming. Twitch is owned by Amazon, Mixer by Microsoft and Youtube by Google. These mega-companies are trying to get the most out of their streaming platforms. Twitch recently lost Ninja and Shroud to Mixer, but this was just the beginning. Call of Duty League fans found out from the launch weekend that CDL matches would be exclusively streamed on YouTube. We later found out that Activision Blizzard gave Youtube the exclusive rights for broadcasting the CDL, OWL and other esports leagues.
$160 Million Deal
According to Esports Observer, this deal was for more than 160 million dollars. This is a very high number. According to the sources, most of this money went to the Overwatch League but a sizeable chunk to Call of Duty League.
….and so it has begun. Tune into YouTube to catch the action! https://t.co/ay7AxWbTlc
— Activision Blizzard (@ATVI_AB) January 25, 2020
As you all know these deals also effects teams, and team owners were very happy with the new deal since this means they will get a very good percentage from the new deal. Activision Blizzard will earn also from the advertisement revenue during the tournaments. Twitch streamers have no problem with this deal since it only covers the tournaments for these games.
So is Twitch losing the battle? No, currently Twitch still has the biggest market share but of course, but losing these tournaments will hurt them in terms of viewership. Ninja and Shroud leaving Twitch under contracts to Mixer created some effect but not that big, however, this is a much bigger deal than signing some big streamer names. The streaming wars will continue for the foreseeable future as more and more companies are trying to get into the market. For us, the consumers the competition is always better. We will definitely see more exclusive deals in the near future.
— Activision Blizzard (@ATVI_AB) February 8, 2020