Variety is reporting that the deal is an all-cash offer and will be announced officially in the near future. That’s certainly a lot of loose change to have found beneath the couch. Representatives from both YouTube and Twitch are yet to comment on the deal.
This would be the biggest acquisition by YouTube since it was purchased by Google for a whopping $1.65 billion back in 2006. Of course, the deal has to make it past U.S. regulators who are expected to examine if the deal is anticompetitive. After all, YouTube is the most popular video sharing site as it currently stands.
Twitch was launched in 2011, although it was preceded by Justin.tv which was co-founded by Emmett Shear who currently serves as CEO of Twitch. The company has raised approximately $35 million in funding, but seems to have gone from strength to strength. Last year saw 45,000,000 unique viewers tune in per month with approximately 6,000,000 total videos broadcast per month.