Thursday, June 8, 2023

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☕️ Techpresso: Major Developments in Amazon, Twitch, TikTok, Reddit, Instagram, and GameStop

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This is your daily dose of ☕️ Techpresso, where you get the latest tech news of the day effortlessly.

Here's the latest tech news from the last 24 hours:
📺 Amazon's New Prime Video Ad-Supported Tier
🎮 Twitch Reverses Ad Changes Following Streamer Backlash
🔍 Senators Question TikTok's U.S. User Data Policies
🔑 Reddit's New API Terms and Impact on Accessibility Apps
🚫 Damning Probes Connect Instagram to Pedophile Rings
🎮 GameStop in Decline After Firing Fifth CEO

📺 Amazon's New Prime Video Ad-Supported TierLINK

  • Amazon is in preliminary discussions about introducing an ad-supported tier to Prime Video, similar to recent moves by Netflix and Disney+.
  • Amazon's ad revenue in the first quarter of the year was $9.5 billion, which could increase if ads are introduced to Prime Video.
  • While this ad-supported tier may not eventuate, the trend suggests ad-free streaming could become less common in the future.
  • 🎮 Twitch Reverses Ad Changes Following Streamer BacklashLINK

  • Twitch had planned new rules limiting embedded ads and logo sizes in streams, raising concerns among streamers and charity events.
  • The platform generally shares 50-70% of the subscription revenue with streamers, but doesn't partake in the revenue from ads or donations.
  • After community backlash, Twitch clarified that it won't hinder streamers' ability to enter into direct sponsorship relationships, reinforcing the importance of sponsorships for streamers' growth and income.
  • 🔍 Senators Question TikTok's U.S. User Data PoliciesLINK

  • Senators Richard Blumenthal and Marsha Blackburn accused TikTok of making misleading claims to Congress about how it stores and handles American user data.
  • Recent reports from The New York Times and Forbes raised concerns about sensitive American user data, including financial information and potentially illegal content, being stored and accessible in China.
  • TikTok, which is owned by Chinese company ByteDance, has been attempting to convince the U.S. government of its data separation efforts between U.S. operations and China.
  • 🔑 Reddit's New API Terms and Impact on Accessibility AppsLINK

  • Reddit plans to revise its new API terms to make an exception for accessibility apps, following backlash over high fees threatening third-party developers.
  • The changes to the API terms led to protest plans by several Reddit communities, including those reliant on accessibility apps, like the /Blind subreddit.
  • There remains ambiguity about Reddit's definition of "accessibility-focused apps" for this exemption, with general-purpose apps like Apollo, which also provide accessible features, potentially not qualifying.
  • 🚫 Damning Probes Connect Instagram to Pedophile RingsLINK

  • Instagram's recommendation algorithms have been found to promote accounts that sell child sexual abuse content, according to a study by Stanford University researchers.
  • Instagram's use of hashtags and its recommendation algorithm makes it a key discovery mechanism for buyers and sellers of such illegal content.
  • Meta, Instagram's parent company, stated that they have an internal task force in place to address these issues, and former Facebook security officer Alex Stamos pointed out similar problems persist on Twitter even after Elon Musk's takeover.
  • 🎮 GameStop in Decline After Firing Fifth CEOLINK

  • GameStop shares dropped about 19% following the surprise departure of CEO Matt Furlong, causing concerns about the company's future online expansion.
  • GameStop has undergone significant management changes in recent years, with five CEOs and three CFOs over the last five years, leading to uncertainties about its strategic vision.
  • Despite efforts to pivot digitally, GameStop is still primarily a brick-and-mortar business and has struggled to meet the pledge of becoming the "Amazon of videogame stores."

  • 👉 Click here if you want to get the news on Twitter

    See you tomorrow for a new dose of ☕️ Techpresso!

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