Video game streaming platform Twitch has closed a deal to acquire
GoodGame, a San Francisco-based talent and marketing agency dedicated to esports and video game broadcasters, for an undisclosed sum.
This is interesting because it's the first time Twitch has ever acquired another company. Back in August, Twitch was itself
acquired by Amazon for roughly $970 million in an effort to capitalize on the
YouTuber phenomenon and explore how Twitch might be used as (in Twitch CEO Emmett Shear's words) a "
native advertising unit for games."
The acquisition of GoodGame is aimed at expanding both the reach and the capabilities of Twitch's partner program, through which select broadcasters gain access to tools that allow them to produce higher-quality broadcasts and earn a portion of the ad revenue they generate.
GoodGame itself is perhaps best known for serving as a sort of talent agency for video game broadcasters and players, including professional
Dota 2 player Peter Dager and the Evil Geniuses esports team. The company also coordinates video game marketing opportunities for companies like Razer, Alienware and Papa John's Pizza.
"GoodGame was a natural fit for Twitch because of our shared experience in creating compelling monetization opportunities for content partners and helping sponsors get the most out of their investments," stated Twitch COO Kevin Lin in a press release confirming the deal. "We have worked with GoodGame CEO Alexander Garfield for several years, and there is a clear opportunity for him to bring his skills and experiences to many more of our partners."
Under the terms of the deal, GoodGame personnel will continue to operate under the GoodGame name, maintain existing client partnerships and seek out new clients.
