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Rumour: YouTube to acquire Twitch for $1 billion [Updated]

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YouTube has acquired Twitch, if a new report is accurate. According to Variety the deal is worth $1 billion dollars and will be officially announced imminently, say sources "familiar with the pact". The report also indicates that the Google subsidiary is expecting a battle with U.S. regulators before the purchase can be finalised, due to potential anticompetitive concerns in the online video space.

Twitch launched in 2011 and is the largest video game streaming website on the internet with over 43 million viewers a month. Originally intended for the broadcast of e-sports, events such as Twitch Plays Pokemon have proven so popular that the site has buckled under the weight of its visitors.

The site's success has seen Twitch integrated into EA's Origin service , uPlay and more, as well as both next-gen consoles. It's even premiered feature length documentary films about Dota 2 . You can also watch it on your phone nowadays. No wonder Google wants a piece of the action.

Update: According to The Wall Street Journal , "the talks are at an early stage, and a deal isn't imminent." That's what they've been told by "two people familiar with the matter". In addition, one source claims that Twitch "has considered raising additional funding instead of selling the company".

Shaun is PC Gamer’s Australian editor and news writer. He mostly plays platformers and RPGs, and keeps a close eye on anything of particular interest to antipodean audiences. He (rather obsessively) tracks the movements of the Doom modding community, too.