🕹 What's the impact of #cloud #gaming like NVIDIA GeForce Now? Short analysis:
• Publishers and developers of the world's most popular games (e.g., Epic Games, Tencent, Activision-Blizzard) are expected to experience a neutral impact. These industry giants possess such large and dedicated fanbases that they can overlook external cloud gaming platforms.
• Publishers that own distribution platforms (e.g., Sony PlayStation, Microsoft Xbox, Nintendo) are likely to benefit from cloud gaming. As early adopters, they can capitalize on their existing fanbases and intellectual property to facilitate the adoption of cloud gaming.
• Tier-1 publishers may face challenges, including a loss of control in distribution and direct relationships with users, resulting in a downside for them. There is also the potential for the rise of subscription-within-subscription models.
• Medium-tier publishers and developers may encounter monetization issues stemming from subscription-based gaming and the possibility of subscription fatigue, leading to a downside for them.
• Smaller publishers and indie developers may face difficulties with discoverability and monetization in the context of subscription-based gaming, resulting in a downside for them.
• Games that rely solely on a one-time fee for monetization may see a potential de-emphasis on continuous content updates. Developers might not be motivated to invest resources in updating their games without additional monetary incentives. However, certain cloud services could offer bonuses tied to metrics like user count or playtime, mitigating this effect.
• In the short term, mobile developers are expected to experience a neutral impact since the majority of mobile game revenues come from mobile-first or casual mobile-only gamers who have little incentive to try cloud gaming. However, in the long term, a small portion of midcore/core mobile gamers may shift their attention to subscription/streamed services, resulting in some revenue downside.
#game #publishing #cloud #computing #nvidia #cloudgames