Twitch threatens to leave Korea over regulations
Korean users fall victim to US firm’s conflict with gov’t
Twitch, the world’s leading video streaming platform owned by Amazon.com, announced abruptly on Thursday that it will stop providing VOD content services in Korea. The move is being perceived here as an attempt to protest the country’s strict regulations.
“From Dec. 13, viewers in Korea will no longer be able to watch VOD content,” the U.S. firm wrote on its website. “From the beginning of 2023, creating new VOD content will not be available in Korea.”
As a result, Korean streamers will no longer be able to manage their content on the platform, although they are still able to continue live-streaming.
Twitch attributed its latest decision to Korea’s regulations. It added that the suspension of VOD content services in Korea is irrelevant to the increased network fees or costs in the market.
“We regard the Korean market as important,” it said. “Our goal is to help our streamers and viewer community continue to grow.”
Twitch made the announcement two months after it downgraded the maximum resolution of its videos to 720p in Korea from 1080p, citing costs to provide its services here.
Since then, the Korea Communications Commission has reviewed relevant regulations to check whether the downgrade is unlawful.
Twitch and other global content providers, such as YouTube and Netflix, have been at odds with Korea’s internet service providers and lawmakers over network usage fees. The measures taken by Twitch are interpreted by domestic users as attempts to protest a proposed revision bill to charge network usage fees.
YouTube is said to have already asked streamers to oppose the network usage fees.
There is also speculation that Twitch may withdraw from the Korean market due to heavy costs.
If so, AfreecaTV is expected to be among the beneficiaries, because Korean streamers will likely migrate to the local video streaming platform. The Korean firm’s stock price soared from 75,000 won ($54) to 88,000 won during Thursday’s trading session, immediately after its U.S. rival announced the suspension of VOD content services here.