This morning, I shared with our community in Korea that we’ve made the difficult decision to shut down the Twitch business in Korea on February 27, 2024 KST. We understand that this is extremely disappointing news, and we want to explain why we made this decision and how we are planning to support those impacted.
Ultimately, the cost to operate Twitch in Korea is prohibitively expensive and we have spent significant effort working to reduce these costs so that we could find a way for the Twitch business to remain in Korea.
How is remaining in an unprofitable market a “loss leader”?
Sometimes you gotta take a small loss for the overall benefit of the company/system.
You really don’t think Twitch did some analysis on this matter before making a decision? Or do you just figure that your uninformed assumptions about their financials are more accurate than their internal analysis? Clearly whatever benefit they were or were not getting from their SK business was not enough to justify the operating costs.
They’re leaving the market. If anything Amazon is putting a shot across the bow of the ISPs who are charging these interconnect fees to get THEM negative press and make the Korean public demand a change in the laws so they can get the Internet they pay for.
Amazon may be quitting twitch in Korea, but their cloud services are still paying for the dumb fees.
What negative press? They’re no longer going to do business in a particular market for completely normal reasons. This isn’t some kind of scandal, it’s a standard decision for a company to make regarding unprofitable operations. Everyone besides you seems to understand this.
You clearly have no idea what you’re talking about.
How is remaining in an unprofitable market a “loss leader”?
You really don’t think Twitch did some analysis on this matter before making a decision? Or do you just figure that your uninformed assumptions about their financials are more accurate than their internal analysis? Clearly whatever benefit they were or were not getting from their SK business was not enough to justify the operating costs.
Negative press costs money too. There will be unforeseen costs related to this move.
They’re leaving the market. If anything Amazon is putting a shot across the bow of the ISPs who are charging these interconnect fees to get THEM negative press and make the Korean public demand a change in the laws so they can get the Internet they pay for.
Amazon may be quitting twitch in Korea, but their cloud services are still paying for the dumb fees.
What negative press? They’re no longer going to do business in a particular market for completely normal reasons. This isn’t some kind of scandal, it’s a standard decision for a company to make regarding unprofitable operations. Everyone besides you seems to understand this.
You clearly have no idea what you’re talking about.