The subscription era is nearing its demise. Or at least it seems that way, as all platforms seem to have agreed to start an endless spiral of price hikes. The last to do so? Twitch.

Dear users, we are increasing prices.The company announced that it will increase the subscription price for its mobile app users. In A message on X “Starting October 1, we will be increasing the prices of new level 1 and gift subscriptions in the mobile app in over 40 countries,” those responsible for the service said.

But they were already uploaded two months agoIn the United States, a subscription to the web service was priced at $4.99, but as of July 11, the price increased to $5.99.

60 percent increase in four months. We will now pay $7.99 as of October 1, up from the $4.99 we paid before July. That’s a 6 percent increase in four months, a brutal increase for two reasons.

First: app stores. The increase will apply to users of the iOS and Android apps, as we said. These increases are intended to fully compensate both Apple and Google for taking a significant commission when subscribing to us through their app stores.

Second: Twitch is a terrible service. Amazon paid around $1 billion for Twitch when it acquired it almost exactly ten years ago. It has been a disastrous investment ever since: Twitch is unprofitable, and that is undoubtedly the main reason for the significant increase in subscription prices.

Creators will earn more (if they retain their subscribers). There was some skepticism about whether content creators would benefit from the previous price hike. Twitch’s people Approved It’s unclear how the price hike will affect Twitch viewers and users, as creators will continue to earn money based on their “revenue share” (50-70% depending on the Plus Program tier they’re in). These subscriptions will become much more expensive.

At Xataka | Advocating for offline technology