[thunderbird120]

To state the obvious, total revenue does not tell you if a company is actually making money. If operating costs exceed revenue you lose money. It doesn't matter how much revenue you're making. Given the costs required to run twitch, they are likely still losing money, not making it. Losing money is not a viable business strategy.

[yamazakiwi]

I am aware that revenue is not profit, we are on HN after all.

While it is possible to run a company at a loss with extremely high revenue, contextually, you're making excuses for a company that could easily keep running with 2.8 Billion dollars yearly.

It's likely that after they extract more money from creators they will increase their spend more to maintain operating at a loss. At what point does it end?

[viknesh]

If your claim is "2.8 billion in revenue is enough to run twitch profitably", I'd love to see the numbers backing that up. What's the cost of serving videos, acquiring advertisers, etc.

Otherwise it's just wild speculation.

[yamazakiwi]

If you were looking at the product and that number reasonably, you would realize that it doesn't take wild speculation.