What you need to know about video game streaming business

Video game streaming has generated a large amount of revenue for its streamers which has created a large community for them. Esports has gained a lot of recognition, ranging from celebrities to even former United States President Barack Obama, who was awarded the title of most video game-friendly president in United States history, a title he may retain for some time. while. Celebrities like Post Malone, Henry Cavill, Samuel L. Jackson, and Snoop Dogg are also huge streamers in the gaming community.

In 2001, WSBN, a Shoutcast station, was the first to use Windows Media Encoder and Divx to broadcast video game battles to approximately 50 viewers.

Then, in 2005, YouTube launched and completely revolutionized the game by allowing streaming directly over the Internet without the need for additional software. It has become the most used video hosting service to date, but when it comes to online games and matches, the site that has become the most popular now is Twitch.

In 2011 and 2014, Twitch was launched and became the most popular streaming site for games. Its founders started with something different from the site.

Their first project, Justin.tv which launched in 2007, was also a streaming platform, but generally not for gaming. Users mostly made vlogs of their daily lives.

Twitch, on the other hand, is primarily concerned with games. The site also came with live streaming, which made it possible to interact with streamers and influence their gameplay. This increased engagement and popularity among streamers.

Shortly after the launch, the site introduced its partner program, which allowed the streamer to earn money through advertisements like on YouTube.

Streaming was more than just a hobby for most people; it became a side hustle and, for some, a primary source of income over time as the platform grew its currency, Bits, as well as an affiliate program.

How do streamers make money?

Streamers earn money in different ways. Subscribers who pay a monthly fee, usually $4.99, to access additional content such as streamer emotes can contribute to their earnings. Tier 1 subscribers pay $4.99 per month, Tier 2 subscribers pay $9.99 per month, and Tier 3 subscribers pay $14.99 per month. Twitch partners who are not considered top streamers receive 50% of the money generated by subscribers, while Twitch keeps the other half.

Twitch streamers earn an average of $2.50 per month for each subscriber. Top streamers earn 70% of the money generated by subscribers. Twitch will consider you a top streamer once you consistently stream to over 10,000 viewers. Top streamers earn $3.50 from each subscriber per month.


Another form of income is advertising. A Twitch streamer has access to an advertising button. They can use this button as many times as they want. So every time an ad appears on a stream, it’s because the streamer is using that button.

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Youtube Advertising

Most Twitch streamers post their highlights on their Youtube channel, as Youtube is a good way to attract new viewers. This is because Youtube has an algorithm that Twitch does not. YouTube can also help promote the streamer and act as an additional source of funding for them, as it pays streamers around $4 for every 1000 views on a video.


Streamers always tend to have their merchandise. It may seem unnecessary, but there are always loyal viewers who might want to support the streamer. It also does not require additional expenditure to produce, as anyone can start selling goods with print-on-demand.

It allows creators to place their creations on a product and sell that product online. When someone pays for the product, your print-on-demand service takes care of it, prints and ships the product for you without charging you, and you don’t have to pay a monthly subscription for their service.


Streamers have a huge influence on their viewership. Since they broadcast to a large majority of people in the community, they then appear on the radar of companies looking for someone to sponsor.

Streamers like Tyler Blevins, also known as Ninja, who is also one of the biggest names in the gaming industry, have earned the title of highest earning streamer even through sponsorships and sponsorship deals. impressive brand.

EA reportedly paid Ninja $1 million to stream Apex Legends on launch day.

One of his most notable deals was with Mixer, which earned him over $30 million. In 2022, Ninja signed an exclusive contract with G-fuel. According to esports earnings, the Ninja earned a total of $280,313 from 53 tournaments.

He is said to earn over $500,000 a month.

A report from a former Spotify executive has revealed that some artists earn significantly more revenue from Twitch live streams than other music streaming platforms.

Hip-hop artist T-pain has created various income streams outside of music, including NFTs and streaming platforms. In his appearance on “Steve-O’s Wild Ride!” Podcast,” he said, “I make more from these video games than I have in the last four years.

American rapper Tee Grizzley has entered the YouTube space of for-profit streaming video games. The rapper claims he earns close to $200,000 a month.

The turmoil has also created lucrative opportunities for those around him. He said he has people around him that he got involved in streaming and they are now making over $20,000 a month playing games.

It has also proven useful in the black community as it prevents the spread of gang violence and promotes the idea of ​​making money through legal and more reasonable methods.

There are Nigerians who have seen how profitable video games can be and got involved. They play a variety of games ranging from PC to console to mobile games. Mobile gaming competitions have even taken place in games such as PUBG and Call of Duty Mobile. With cash prizes ranging from 50,000 to 150,000 naira.

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