YouTube is set to purchase video game streaming service Twitch for $1 billion, according to a report from Variety.
According to the site, the deal is an all-cash offer and will be officially announced imminently. If true, this would be YouTube’s largest acquisition in history—almost in the same league as when it was acquired by Google for $1.65 billion.
Twitch was launched in June 2011 by Justin.tv co-founders Justin Kan and Emmett Shear, and allows users to stream their gameplay live and also watch other players’ streams.
The report also claims that YouTube is currently preparing for the deal to be challenged by U.S. regulators once it becomes public knowledge. With YouTube leading the way in the online video market, the purchasing of Twitch could be seen as a way of eliminating the competition.
However, the Wall Street Journal is offering a conflicting report on the deal. According to anonymous sources close to the deal, while YouTube is in talks to acquire Twitch the talks are “at an early stage, and a deal isn’t imminent.”
Quite how the deal would affect the day-to-day running of Twitch is unknown at this time.