Is it possible to embed a Twitch stream into a banner ad (970x250, for example) which, in turn, would be served to multiple websites?
In theory yes.
As long as the parents are set correctly on said embed.
You should refer to the TOS and Dev TOS to check if is this permitted. I am not a lawyer and can’t say either way.
Also technical hurdles for such usage would be audio likely be forced to start muted, viewership may not be counted for that channel, and if it’s seen as an attempt to try to inflate viewership they may outright disable embeds on the site.
As for the legal side of things, You may not transmit embeddable experiences to or through any ad network or other advertising-related service. is a prohibited use according to the Embeddable Experiences section of the Dev Agreement
How then does the service climb.tv distribute streams on external sites without violating this paragraph in the Dev Agreement?
At a curosry glance, this doesn’t embed content from Twitch.
Content/highlights are served by them from their own system. And that highlght/video is exported from Twitch to their service.
So whilst they embed streamers content from Twitch in a banner, they don’t get that content from Twitch but their own server. So the streamer provided the video to that site to that site to use directly.
*Not a lawyer and only my opinion.
Either way if you think it’s violating the rules, legal@twitch.tv is probably worth an email
If we talk about the function to insert a highlight, then it is possible so. But they also have the option to embed Twitch, YouTube or Facebook gaming during a live stream. That is, they insert an embed there.
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