Say hi to Curse, the newest member of the Twitch family
Evan Freitas

Quick Context & Potential Implications of Twitch’s Latest Acquisition

Interesting move. For those unfamiliar with Curse, here’s some context and potential implications of this acquisition.

Curse has three businesses:

  1. Gaming websites — LoLNexus, LoLPro (now integrated with LoLNexus), HearthPwn, Gamepedia, and more.
  2. Gaming MCN — 12th largest on YouTube, according to Social Blade. Some of its more popular members are Ethan, Dunkey, and Instalok.
  3. Voice — originally called Curse Voice, now Curse. Last year, Riot Games invested $30 million into Curse and integrated it within the League of Legends (LoL) client.

Curse used to own an esports team as well, starting with LoL in 2011. The team was sold back to the team manager in 2014 with Curse remaining as the namesake title sponsor for the rest of that year.

Potential Implications

  1. For Twitch — Increased revenue. While there is lower CPM on YouTube, agencies are much more familiar doing media buys in that ecosystem. Brands should also see the allure of advertising to gamers across multiple platforms.
  2. For Discord—This acquisition is a mixed bag for Discord. First, their valuation will likely be affected. Second, if Twitch quickly and successfully integrates Curse into its ecosystem, Discord will face stiff competition against the premier gaming streaming platform with tournament operations solutions (Rocket League Championship Series, Esports Championship Series) and now voice communication solutions.
  3. For Game Publishers — Smaller publishers will likely view this acquisition positively as Twitch could provide them with a more comprehensive suite of solutions. Larger publishers may view this acquisition as a threat as Twitch has another way to develop a relationship with their users.
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