Tucked into a corner of the Twitch app, a list of ads can be found.
Here’s how to opt out.
“We’re doing the same thing we always do,” says Twitch cofounder and CEO Joe Ludwig.
“The only difference is we’re doing it on Twitch and not in the Twitch App.
We’re doing this because Twitch is the most valuable brand in our industry.
And I think the reason that Twitch is so valuable is because we’re really great at what we do.”
Ludwig says he and his colleagues have been working on a feature that would make it easy for advertisers to target the right ads to their Twitch followers.
This week, the team announced the beta version of this feature that will debut this fall on Twitch’s iOS and Android apps.
Users will be able to opt in to these new ads by using the “opt in” button on the Twitch ad page.
Users can also opt out of the new ads via a link in their stream or chat, and they’ll also have to enter their Twitch account password, which is also required to opt into ads.
Twitch users can also block or edit their ads to opt them out.
But what is Twitch doing that makes it so valuable?
It’s not the company’s biggest source of revenue, according to Ludwig.
Twitch is a digital news aggregator, not a news publisher.
The company says it spends $5 million per month on ad sales, but the money is spent in a variety of ways.
“In the last year we’ve spent more than $300 million on ads on Twitch.com, Twitch.tv, Twitch Central, and Twitch.org,” says Ludwig.
The ads are generated by ad networks like Adblock Plus and by advertising companies like Vistaprint and adblockplus.org.
Twitch’s ads are then sold through third-party partners like Adsense, and these ads are used to drive subscriptions and ad revenue.
“This is where the value comes from,” Ludwig says.
“What is really unique about Twitch is that they’re not a content company.”
Twitch’s ad revenue comes from the ad networks it uses to deliver the ads.
These ad networks, like AdBlock Plus, have to register with Twitch to appear in the app, but Ludwig says they’re using Twitch’s network to target ads to users and earn revenue.
Twitch also gets paid by third-parties for hosting the ads, but these companies are not required to pay Twitch.
Ludwig says the advertising revenue is paid to Twitch through its ad network partners and the ads themselves.
Advertisers that pay to advertise on Twitch also pay for the ads to appear on Twitch, and the company uses these funds to pay its employees and its partners to host ads.
“There are so many different ways that advertising can be monetized,” Ludwig said.
“And I think that’s the biggest difference between us and some of the other platforms out there, which are all pretty well automated.
We have this amazing system where the advertisers are paying us for the opportunity to have their ads on our platform.”
“It’s an incredible system.
We can do it on the app.
We don’t have to go to any platform, and that’s what is so great about it.”
The company’s ads aren’t the only way it makes money on the platform.
“It also has a pretty powerful revenue model,” Ludwig explains.
“One of the reasons that Twitch has this incredible scale and the amazing ability to do that is that it has a lot of paid advertising.
It has a massive amount of paid content that we’ve never seen before.
And it’s not just ads.
It’s paid sponsorships, sponsored events, paid livestreams, and a whole bunch of other things.”
Twitch also has its own dedicated ad-sales team, which Ludwig says is responsible for paying Twitch to host the ads it’s generating.
“That team, in turn, pays our employees to put in the work to create the content that the Twitch community likes,” Ludwig adds.
Twitch has over 100 million registered users, which means it generates enough revenue to pay out some $3 billion in ad revenue a year.
“Every day we get ads, every day we are able to generate enough revenue that we can pay our employees, and some other employees, to put that content into the stream and into the app,” Ludwig added.
“All of those things are paying off.”
“We don’t know what is going to happen in the future.
We’ve got to make sure that we’re building a product that works well for the platform,” Ludwig continues.
“But we’re happy to be making the products that we do.
We hope to be a profitable company in the near future.”