Twitch titan Félix “xQc” Lengyel has inked a mammoth multi-year contract with Kick, a budding competitor to the streaming goliath.
The former professional Overwatch player, known for his dynamic, controversy-laden streams, and nicknamed the “child of Twitch,” is set to make a leap that signifies an emerging tide of creators seeking greener pastures.
According to The New York Times, the initial contract’s value is a staggering $70 million over two years, with incentives that could ratchet that figure up to a cool $100 million. In terms of annual payouts in sports entertainment, xQc’s deal surpasses that of many sporting superstars like the Phoenix Suns superstar, Kevin Durant, who’s the third-highest-paid NBA player at an annual salary of just a little over $44.1 million. Ryan Morrison, xQc’s agent, and CEO of the Evolved Talent Agency, isn’t shy in heralding this agreement as “one of the top 25 talent deals of all time period, including sports.”
The allure of Kick, the newcomer on the block, comes as it offers a more favorable revenue split with creators, taking a mere 5% from its streamers’ subscription revenue compared to Twitch’s 50% cut. Furthermore, the upstart platform, backed by gambling entities, comes with laxer regulations on gambling-related content, something that Twitch has taken a more stringent stance on. While Kick’s connection to a crypto-casino raises eyebrows, this could provide xQc an arena to pursue his self-professed love for gambling.
The cornerstone of xQc’s migration to Kick is not financial windfall alone. It’s about innovation, flexibility, and a chance to venture into territories uncharted. “Kick is allowing me to try and do things I haven’t been able to before,” said xQc. “I’m extremely excited to take this opportunity and maximize it into new creative and fresh ideas over coming years.”
Despite the lucrative deal with Kick, xQc will continue to maintain a presence on Twitch, albeit less frequently. This doesn’t signal a total severance of ties with his 11.8 million strong Twitch family but an expansion of his kingdom, a diversification of his empire. Kick’s promises of a more creator-friendly platform are certainly enticing, but its actual implementation remains to be seen.
This unprecedented deal stands as a watershed moment in the world of digital entertainment, helping usher in a new era of live streaming with the help of Ninja, who also has a similarly cult-like following.
The strategic gamble of aligning with a nascent platform like Kick is not without its risks. Concerns persist regarding Kick’s long-term sustainability, given its revenue model and emphasis on gambling content, which carries inherent regulatory as well as financial risks. Moreover, Lengyel’s penchant for controversy could also become a liability for Kick if he’s not carefully managed
As the dust settles on this landmark deal, the live-streaming industry waits for how it will turn out. The coming years will reveal whether Lengyel’s leap of faith will pave the way for a creator-centric future or serve as a cautionary tale of ambitions not met.
Regardless, this move has indisputably disrupted the status quo, stirring a debate about the future of digital entertainment.
