Streamers Struggle as Twitch Ad Revenue Nosedives
The warning bells are ringing across Twitch as popular streamers like Knut and Mizkif report their ad earnings have been slashed—some are pocketing less than half what they made during the same time last year. This dramatic drop hit during Q4 2024, a season when ad cash is usually at its peak thanks to holiday shopping sprees. Instead, many top creators are scratching their heads (and checking their bank accounts) as numbers hit surprising lows.
The timing is hard to ignore. In 2024, Twitch found itself at the center of a major controversy. Accusations of antisemitism on the platform sent shockwaves through the advertising world. Big names like Chevron didn’t wait around—they pulled their campaigns, starving Twitch’s ad pool right when competition for video ads should be at its hottest. The fallout? Not just lost dollars for the company—streamers who rely on ad money are taking the hit directly, with little sign of things bouncing back fast.
Too Many Ads, Not Enough Cash: The Viewer Backlash
While Twitch scrambles to patch its revenue leak, viewers aren’t happy either. Instead of cutting back on ads to lure in more eyeballs, Twitch went the other way, rolling out picture-in-picture ads where the stream keeps running in a small box while ads play. But that’s just window dressing for some fans—many say it feels like there are more Twitch ads than ever, with some newcomers to streams facing as many as eight, unskippable ads before getting to content. That’s enough to make anyone click away—and streamers are paying for it as their audiences shrink, directly impacting their ad-driven income.
Twitch is trying to get creative by lowering the barrier for smaller channels to earn ad revenue in 2025. In theory, that means more creators can start getting paid. But let’s be honest—for most low-traffic streamers, nickels and dimes from ads won’t pay the bills, especially when the average CPM has wobbled around $3.50 per 1,000 views with no guarantee of stability. Add to that Twitch's bulk ad deals, aggregating millions of small channels, and you’ve got a market where big earners and small fish alike feel like they’re treading water.
Meanwhile, competitors are moving in for the kill. The streaming site Kick, for example, tempts creators with a 95/5 revenue split—basically a dream deal compared to Twitch's own terms. For streamers looking to maximize every dollar, and who feel burned by dropping ad rates or rising ad loads, jumping ship becomes an attractive option.
As Twitch pivots and experiments in a tough advertising climate, both creators and viewers are getting restless. Streamers want fewer ads and better pay for their time. Viewers want less disruption. Whether Twitch can find a sweet spot or if streamers will flee for new shores like Kick—that remains one of the hottest debates in the online video world right now.