Amazon to acquire Twitch for $970 millionMd Noman Siddique (Author) Published Date : Aug 26, 2014 15:22 IST
Renowned online firm Amazon bought Twitch the online live streaming gaming network for $970 million in cash as their strategy to get into the online market passing its general business.
This will be the biggest deal for Amazon in the last twenty years which was announced by the two firms recently and this deal will help to boost the online gaming sector which has been gaining popularity in the US market after Apple and Google who has been the pioneer in this sector who has the hold of over 75 percent in the mobile app market.
It was also learnt that this deal will go close to $1 billion as there are some other agreements added with the deal.
According to the Macquarie Research analyst Ben Schachter, Twitch will further push Amazon into the gaming community while also helping it with video and advertising.
Twitch has been gaining popularity for its innovative moves which made the firm as one of the most fastest growing digital video streaming and for that it has also gaining its reputation among the advertising market who are showing more interest in the site.
However the deal is out of the box for Amazon as they usually tends to acquire small firms are expected to close the deal in the next quarter where earlier tech giant Google was willing to buy Twitch which came to the market on 2011.
But both Amazon and Twitch did not wanted to comment over the deal along with the interest of Google to acquire the firm.
According to the CEO of Twitch Emmett Shear, The reason why we reached out to Amazon, the reason I thought working for Amazon, having Twitch being a part of Amazon, would be a great idea for us (because) they would give us the resources to pursue these things that we honestly already want to pursue and they'd let us do it faster.
Amazon to acquire Twitch for $970 million