Platform Creator Poaching

Shaan describes a strategy to compete with Twitch by coordinating a mass exodus of top streamers through strategic contract timing and guaranteed payments. The idea leverages the power law distribution of viewership where top creators drive the majority of platform value.

Key Points:

• Target Top Talent:

  • Focus on top 300 streamers who drive ~50% of viewership
  • Offer guaranteed contracts worth 10x current earnings
  • Example: $20-30M deals like Microsoft's Mixer offered to Ninja

• Strategic Timing:

  • Execute during platform's major event (TwitchCon) when creators gather
  • Host dinner/meeting before event to present the opportunity
  • Need critical mass (40% of top talent) to commit for strategy to work

• Contract Structure:

  • Guaranteed money vs performance-based
  • Multi-year exclusive streaming rights
  • Estimated $150M needed for initial talent acquisition

• Key Challenges Identified:

  • Incumbent (Twitch) already prepared for this:
    • Staggered contract renewal dates
    • Exclusive long-term deals
    • Revenue sharing arrangements
  • Need coordinated exodus rather than individual poaching
  • Requires massive upfront capital

• Potential Outcomes:

  • Build competing streaming platform
  • Get acquired by larger tech company
  • Force incumbent to change creator terms