Twitch users were enraged at a recent price hike for a tier-one sub being implemented in the United Staes and 39 other countries, leading many to ask why it was happening.
On August 21, Twitch announced that Tier 1 sub and gift sub prices will increase on the mobile app. Right now, a tier-one sub costs $4.99 a month. This is a lot cheaper than tier-three subs, which cost dedicated fans $24.99 a month. But the tier-one sub cost is now going up and Twitch users are not happy.
Is the sub increase going to affect all Twitch users? And why does Twitch keep doing this to users?
What new prices for subs on Twitch after the price hike?
Tier-one subscriptions on Twitch are being raised from $4.99 to $7.99 for mobile users in many countries, including the United States. The cost of tier-two and tier-three subscriptions will not increase.
According to an announcement from Twitch on X, prices will go up on October 1, 2024. This change will impact over 40 countries.
After seeing the update, a lot of Twitch users became instantly angry. Having a Tier 1 sub price go up by $2 per month means it will now cost over $95 to be subscribed to a Twitch channel for the entire year at the lowest level.
However, this update didn’t come by surprise. The recent update will only impact mobile users, since desktop users have already seen this change implemented. Numerous countries already saw these price hikes implemented uniformly earlier in 2024.
This means that all users across all platforms will need to start paying $7.99 for a Tier 1 sub. A lot of Twitch users expressed anger, still, stating that the recent announcement would be used as a reminder to cancel all sub enrollments. Others expressed that there’s nothing Twitch could say to “justify” the changes.
Why did Twitch raise the sub price?
Twitch is raising subscription prices as it deals with lingering financial troubles at the company.
Earlier in 2024, CEO Dan Clancy stated that Twitch is losing money. This came after numerous changes to the advertising model for streams and the service leaving South Korea.
Twitch hasn’t given a definitive reason for hiking up the prices of subs. Doing so increases Twitch’s revenue for remaining subscribers. Another reason could be encouraging users to look to Twitch Turbo. Twitch Turbo removes ads from all channels, but gives no money to streamers. Twitch Turbo’s price was not increased with the subscription price increase.