Twitch was a hot commodity before it landed in the hands of news new acquirer, Amazon, for $US970 million.
Google’s interest in Twitch, which came in at a $US1 billion price tag, was widely reported. And a source confirms that Google indeed made an offer that fell through. But this person also says another company, Yahoo, also made an offer to buy Twitch. It’s unclear what price Yahoo was willing to pay before things fizzled.
Earlier, The Wall Street Journal noted that Yahoo had “expressed interested in Twitch.”
It’s not clear why Google’s and Yahoo’s deals didn’t pan out, but either way, Amazon swooped in and closed the deal relatively quickly thereafter.
What might have Yahoo wanted with a game streaming site like Twitch?
A few months ago, Yahoo was reportedly trying to make a Twitch competitor. Re/Code’s Peter Kafka said Yahoo was interested in rivaling YouTube and maybe eventually creating its own video platform like Twitch. He noted that Yahoo CEO Marissa Mayer had tried and failed to buy another video site, Daily Motion, and paid big bucks to sign news personality Katie Couric. Mayer was also trying to lure big-time YouTube stars onto Yahoo’s platform.
Other sites reported that Yahoo might try to acquire a video platform, but pegged IAC’s Vimeo as a top choice. From GameSkinny:
An ‘inside source’ from Yahoo said that the service might open up after a year, to allow for other users to upload their own videos; but this is rumour, as others have claimed that Yahoo may simply purchase another video sharing company that is already in existence, such as Vimeo.
Twitch CEO Emmett Shear said why he went with Amazon in a letter to the game streaming platform’s 55 million users:
We chose Amazon because they believe in our community, they share our values and long-term vision, and they want to help us get there faster. We’re keeping most everything the same: our office, our employees, our brand, and most importantly our independence. But with Amazon’s support we’ll have the resources to bring you an even better Twitch.
Disclosure: Jeff Bezos is an investor in Business Insider through his personal investment company Bezos Expeditions.
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