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Industry Voices
Sorry Microsoft, but you’re not going to be the ‘Netflix for games’ Olivier Avaro, Founder & CEO at Blacknut
MCV/DEVELOP gives the industry a platform for its own views in its own words. Do you have a burning hot take for the world of games? Get in touch!
Congratulations to Microsoft, the newest holder of the ‘Netflix for games’ title after it announced the September 15 launch date for its xCloud streaming service. That would be great if it really were the gaming equivalent of Netflix, but the truth is more complex. The ‘Netflix for games’ tag is an easy one to throw at any kind of all-you-caneat streaming service, games or otherwise. It’s an instant reference point that anyone can understand. But it also presents a vision that’s quite different to what is actually happening with the growth of cloud gaming, and I worry that the industry is creating an expectation that is unlikely to be met, mainly because games are nothing like movies. Spare a thought for Google, whose Stadia cloud gaming service was very much hailed as the ‘Netflix for games’ - until Director of Product Andrey Doronichev categorically said it wasn’t. Similar outcomes have also befallen Nvidia’s GeForce Now, Parsec and Shadow, which at various times have all been proclaimed (or proclaimed themselves) as the ‘Netflix for games’. The Netflix analogy only works if a service is offering consumers direct access to content – not just access to a digital games locker, or selling them the tech but asking them to provide their own content to make the service work. That means that Nvidia, Shadow, Parsec and Stadia don’t really offer the gaming equivalent of Netflix at all, as they are offering the streaming tech but you need to bring your own games. Equally, services like Humble, Game Pass and Switch Online let gamers access a big library of games which they can download and play for a monthly fee, but they still require gamers to own a computer or console capable of running the games. These have all built up audiences in the millions, but are more akin to a Blockbuster Video rental than a Netflix.
For cloud gaming to deliver an actual Netflix-like experience, four criteria need to be met. First, the service needs to be based around the content, not the hardware. This rules out services that are based on a PC or console in the cloud where you need to bring your own games. Second, it needs to be all you can eat. Third, it needs to be subscriptionbased, rather than purchasing individual digital games (like with Stadia). Fourth, there needs to be original content that’s exclusive to the service; this is what differentiates with Netflix, Amazon Prime and Disney+. This last point we are already discussing for we believe strongly in “Native Cloud” Games yet to invent. The closest cloud gaming model to a ‘Netflix for games’ could also actually be what we are doing with internet and mobile operators and not the known gaming actors. For them, we at Blacknut have already hit three out of the four criteria that a Netflix for games needs to have. Having somewhat missed the boat on the rise of video on demand and streaming video, operators are keen not to make the same mistake with games. And with 5G networks on the horizon, cloud gaming is the ideal premium service to use as a hook. This is a market where consumers are used to subscriptions, expect curated content, and all-you-can-eat consumption. The winner of the ‘Netflix for games’ crown will be the service that speaks to the millions of people around the world who love games, and not only targeting the ‘gamer’ demographic as big brands are targeting today. Olivier Avaro is the founder and CEO of Blacknut, a cloud gaming service distributed both direct to consumers and B2B through ISPs, device manufacturers, OTT services & media companies which was launched in 2018.
10 | MCV/DEVELOP September 2020
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