Re:Flattr is closing down
by nicolas_17 on Thursday January 18, 2024 @08:40PM
(#39050599)
You do know Amazon owns Twitch? I'm sure they aren't using normal AWS billing...
Re:Flattr is closing down
by PurpleRamen on Friday January 19, 2024 @07:27AM
(#39054644)
Owning does not mean receiving benefits. Twitch is still a Company of their own, not a department of Amazon. It's well known that Twitch gets no big benefits from Amazon and is used as a Cash-Cow.
Yeah, I've wondered if Amazon is using Twitch's AWS fees as paper losses to lower taxes. I.e., Twitch is actually making profits but Amazon wants the AWS fees on its books so that Twitch isn't recording profits (and therefore taxes) and Amazon profits off the AWS fees.
And we don't know for real how much Amazon is charging them. Rumors are going, Amazon is charging them a hefty amount for servers, while other says AWS is irrelevant for their Service, so nobody knows for real, officially.
But the recent move to a different handling of video-streams is supposed to change this, as it reduce the costs on Twitch's side, and lets the Streamers pay for it themself. By which I mean AV1(?), where the streamer is encoding all streams in all resolutions, and only sends it to Twitch which then acts as a relay. Claim is, Video-Encoding was the biggest cost for them, after employees, which seems kinda strange.. But maybe it will change their game in the next years, we will see.