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How Twitch Is Trying to Bring in More Users

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Twitch’s latest offer

Twitch, Amazon’s (AMZN) platform for streaming videos by gamers, has announced that Prime members will receive a free year of Nintendo Switch’s online service, which would otherwise cost $19.99. Nintendo’s subscription service lets users play online multiplayer games and gain access to Nintendo’s games.

Amazon Prime members can automatically become Twitch Prime members. Subscribers can initially get access to a three-month Nintendo Switch membership free of charge. After 60 days, subscribers will be able to get the other nine months free.

Twitch’s total audience is bigger than ESPN’s

Twitch’s latest move is yet another example of a subscription service bundling its service with another to attract more users.

Recently, Hulu and Spotify (SPOT) extended their partnership. Spotify’s Premium users will now have access to Hulu’s streaming video-on-demand plan with ads—effectively for free.

While such partnerships could dent Twitch’s revenue growth in the short term, it could help the company build a massive user base in the long term.

Twitch already has millions of users glued to it on a daily basis, where they watch some of their favorite gamers play popular games such as Fortnite.

The advent of esports has caused Twitch’s popularity to spike. According to Superdata, Amazon’s Twitch has an audience of ~185 million, larger than ESPN’s. Apart from the $4.99-per-month Twitch Prime subscription, Twitch also has a free ad-based tier.

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