Comfortable atop the video streaming playing field, Netflix is now pivoting towards gamers. Without much ballyhoo, it’s acquired a number of studios over the past couple of years – studios that Netflix could use to develop games that line up with its exclusive content.
Feeling its oats, Netflix’s game lineup now totals more than 70 different titles for the members of its ad-free tier. Coming soon, subscribers to that tier can dive into games based on streaming hits like “Squid Game” and “Wednesday,” as well as the Netflix Stories app — a collection of interactive narrative games that the company is building out.
According to the Wall Street Journal, Netflix has plans to up its game even further, and has discussed a licensing deal that would allow it to release a game based on “Grand Theft Auto.”
But can a company whose stock and trade are movies take on Sony, Nintendo, and Microsoft and get gamers to move away from their PS2’s and X-Box’es and become “something for everyone” as it recently claimed?
It could take a while, Jacqueline Corbelli, founder and CEO at BrightLine, a company that delivers ads for major streamers such as Disney and Hulu, told ConsumerAffairs.
“While Netflix's venture into gaming promises exciting possibilities, the challenges of adapting gaming technology from mobile and desktop platforms to TV streaming are considerable,” Corbelli said.
Can Netflix deliver what games require?
The biggest hurdles Corbelli sees Netflix having to address will be issues like latency -- the lag or delay you might see in the stream -- and complexity in creating seamless gaming experiences on TV.
In other words, Netflix is going to have to crawl before it walks and start with more casual games until TV technologies catch up more broadly to deliver more story-driven experiences to viewers, which will take more time.
“This move can be seen as a way to diversify their services, appealing to a wider audience,” Corbelli said, a feeling seconded by Yaroslav Melnyk, co-founder and CEO at kudos.tv.
“I think that their angle of reaching out to casual gamers or non-gamers is a smart play. It feels like a doorway for many to step into the gaming realm, which, in my view, is a positive ripple,” Melnyk contends.
However, both Melnyk and Corbelli think that capturing the attention of avid gamers might require more than just the casual gaming experience Netflix is serving up.
“It will take a considerable amount of time and most importantly, investment in the evolution of TV streaming technologies before Netflix will be in the business of attracting serious gamers. TV streaming apps just cannot support that type of experience at this stage,” Corbelli said.
“[However], transitioning some of their iconic movie titles into games, as they already announced, could be a strategy to spark interest among the dedicated gaming demographic and provide some short-term gains for their ‘new’ platform,” Melnyk added.
Release the hounds!
Will other streamers follow suit Netflix’s move? “It's possible. The gaming world has its appeal,” Kristoffer Thun, IT professional and gaming enthusiast, told ConsumerAffairs.
“On the upside, game streaming offers flexibility and accessibility.” The downside? Thun agrees with Corbelli that potential lag and ensuring quality can be challenges.
“It will be a nifty bonus for subscribers, but there's a feeling that maybe Netflix is charting unknown waters without a clear map,” he said.
As for the future of streamers developing gaming platforms, it’s likely going to be a wait-and-see situation. Apptopia reports that Netflix games have been downloaded 70.5 million times globally as of Sept. 20, but that’s less than 1% of Netflix’s 238 million subscribers who are playing Netflix’s games daily.
Not too many companies are going to be drooling over numbers like that – and the fact that the uphill climb will be long and hard for anyone who wants to reach the 400 million legions that games like “Candy Crush Saga” rule.
However, competing at that level may not be Netflix’ goal. Thun contends that Netflix’ move could release the proverbial hounds and we could be looking at more variety and perhaps it simply wants a broader audience.
“But the key will be delivering a seamless experience. If streamers can nail that, they're on the right track,” he said.
Comfortable atop the video streaming playing field, Netflix is now pivoting towards gamers. Without much ballyhoo, it’s acquired a number of studios over t...