Twitch, a well-known game live streaming platform, recently announced that it will withdraw from the South Korean market from February 2024. Behind this decision is the fact that the cost of the South Korean network is 10 times higher than that of other countries, which puts a lot of pressure on Twitch to operate.
South Korean users will no longer be able to purchase paid products on Twitch, and Korean streamers will lose the opportunity to earn live streaming revenue such as subscription fees through the platform. This is the first time that Twitch has fully exited a single country, and the incident highlights the significant impact that differences in the online environment in different countries can have on business.
High network costs in South Korea.
One of the main reasons why Twitch decided to withdraw from the Korean market is that the cost of networking in South Korea is much higher than in other countries. According to reports, the cost of networking in South Korea is 10 times higher than in other countries.
This means that the network bandwidth and server costs required for Twitch to operate in South Korea are too expensive compared to other countries, which puts a huge burden on the platform.
Although Twitch has tried to deal with this problem by saving costs, it has been in a serious loss in the Korean market for a long time.
The impact of Twitch's withdrawal from South Korea.
Twitch's exit from the South Korean market will have a significant impact on South Korean users and streamers. First of all, South Korean users will no longer be able to purchase paid Twitch products, enjoy high-quality game live streaming and other features offered by the platform. This is undoubtedly a heavy blow for Korean users who love games. Secondly, Korean streamers will not be able to earn live streaming income such as subscription fees through Twitch, which will bring a lot of trouble to their financial** and career development.
Differences in network environments have a significant impact on the business.
Twitch's exit from South Korea highlights the significant impact that differences in the online environment in different countries can have on business. The Internet is the infrastructure for the operation of game live streaming platforms, but there are obvious differences in the network environment in different countries.
South Korea's high network costs make it difficult for Twitch to make a profit in the country's market, while in other countries, lower network costs provide a better environment for Twitch to operate.
This event reminds us of the importance of a deep understanding of the cyber environment of the target market and its impact on operations and user experience when expanding globally.
Network costs and global business development.
The reason why Twitch decided to withdraw from the South Korean market was the high cost of networking in South Korea. Despite Twitch's attempts to save costs, it has been losing money in South Korea for a long time. This incident has raised concerns about the business impact of differences in the cyber environment in different countries.
Network cost is one of the most important factors in global business development, which directly affects the profitability and user experience of enterprises.
In the future global business expansion, enterprises should pay more attention to the network environment of the target market and formulate corresponding strategies to ensure the sustainable development of the market in different countries.
Summary: Twitch's decision to withdraw from the Korean market is due to the high cost of networking in South Korea. This decision raises concerns about the business impact of differences in the cyber environment in different countries.
South Korean users will not be able to purchase paid products on Twitch, and Korean streamers will also lose the opportunity to earn live streaming revenue through the platform. This incident reminds us that network costs are a serious consideration in global business development, and only by having a deep understanding of the network environment in the target market can companies develop better strategies to achieve sustainable development.