Netflix is not new to making games as they already have it, and you can view them in their streaming app. Some games evolve around certain shows like Arcane with Hextech Mayhem, Stranger Things with Stranger Thing:1984, and Spongebob Squarepants with Spongebob: Get Cooking.
Although only one percent of active subscribers have taken an interest in these games, Netflix still plans to expand its stakes in the video game industry by setting up its own AAA game studio.
According to BBC News, Netflix has previously purchased other small gaming companies such as Night School Studio, which developed the game Oxenfree.
What Does Netflix Plan To Do Moving Forward?
As mentioned in DroidGamers, Netflix will be investing in its own game studio that will be located in Helsinki, Finland.
They will be working with Marko Lastikka, co-founder of Zynga Studio, which is known to have worked on FarmVille 3 under Lastikka's leadership.
Netflix mentioned in a blog on their website that Helsinki was an appropriate place to start building their AAA game studio from the ground up since it is the home of the best game talents in the world.
On top of that, they have just purchased game studio Next Games which was based in Helsinki as well. Michael Verdu, Netflix's VP of games, described Next Games as "a core studio in a strategic region and key talent market" which was mentioned on BBC News.
They will develop games that will "suit the diverse tastes of our members" with their second games studio along with game studios like Night School Studio, Boss Fight Entertainment, and Next Games.
What Kind of Games Can I Expect From Netflix?
Netflix has experience in association with the gaming industry. They have released series based on games like League of Legends in making Arcane, and Cyberpunk 2077 in making Cyberpunk: Edgerunners.
Netflix has also been working with Ubisoft, but there is no official information yet if the collaboration will yield a live-action Assassin's Creed television series or a Netflix-exclusive mobile game.
As for whether they will be developing games exclusively for mobile or if they'll dive into console gaming as well, there's still no information on that either which is understandable since Netflix is still in the early stages of developing an AAA game studio.
Why is Netflix Expanding Into the Gaming Industry?
This could be because of the decline in Netflix's subscriptions. The streaming service lost about a million subscribers in just three months between April and June. Reed Hastings, the firm's boss, even mentioned that Stranger Things might've slowed the exodus.
Executive Director at Ampere Analysis, Guy Bisson, said that it was inevitable for Netflix to start seeing its grip on the market loosen, stated in an article in BBC News.
Perhaps they don't want to put all their eggs in one basket, that is why they are now expanding into the gaming industry. Once they have attained a certain level of success, they can discover various ways of making both gaming and streaming services go hand in hand in increasing users.
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