There are many ways to make a living online and Twitch is one of those ways despite earnings being heavily dependent on subscriptions.

Now Twitch has announced changed to the way it shares revenue from advertising through it’s Ads Incentive Program.

“The premise of the Ads Incentive program (AIP) is simple: each month a creator gets an offer. If they stream for a specific amount of hours in that month with a specific ad-density, they’ll receive a predetermined payout. Let the Ads Manager handle the ads and at the end of the month you get paid,” Twitch explained in a blog post.

The platform says that for, Twitch Partners, this new model will see a switch from a CPM structure based on every 1 000 ad views to a percentage-based revenue share model. This model will see Partners receiving 55 percent of the revenue for each ad that runs.

That isn’t the full payout though as a footnote states ”Payment will be made on a net basis, meaning revenue less (a) billing and other costs and fees paid to provide the Twitch Services; and (b) taxes, returns, refunds, chargebacks, discounts and credits.”

As for Affiliates, Twitch says it will have more news in August over and above the 55 percent share in ad-revenue that run on those channels.

“We won’t pay any Creator less ad money for opting into the Ads Incentive Program. If it turns out your AIP offer payout is lower than what you would have earned running ads outside of the program, we’ll pay you the higher amount,” Twitch added.

Whether these changes will be well received remains to be seen but a leak earlier this year regarding Twitch revenue split was not well received. That leaked report suggested that Twitch’s top earners could see their earnings reduced substantially while needing to stream longer hours.

We will have to wait to see whether this percentage-based revenue share model does in fact yield the 50 to 150 percent ad pay rate increase for “the vast majority of Creators on Twitch”.