Rumors that Netflix is also entering the game streaming business are fueled by the signing of a former EA and Facebook manager. The newly hired manager is to lead the efforts and ensure entry into this area in the next year.
Netflix is building up the gaming team
Mike Verdu, who previously worked with developers at Facebook to bring games and other content to the Oculus VR headsets, will start at Netflix as Vice President of Game Development. At EA, he worked on popular brands such as The Sims, Plants vs. Zombies, and Star Wars. From 2009 to 2012 he was employed by Zynga, which is best known for its browser games. In the coming months he will have to build up a team for the gaming area, and corresponding tenders at Netflix leave no doubt about this project.
Games should complement the offer free of charge
The games are to be offered as a new category in addition to the current streaming content on Netflix and, at least according to current speculations, do not cause any additional costs to the normal subscription. Price increases like the last one could be justified more easily.
Growth is flattening
For Netflix, entering the games market is also about securing growth in the long term, after the growth rates are flattening more and more after a sharp increase and the market is becoming increasingly saturated with more offers. Last quarter, Netflix posted growth that was below expectations, even if you can still place yourself ahead of Disney +.
Rights to Stranger Things secured
The competitors Disney + and Amazon cannot yet offer a corresponding gaming offer on their video streaming platforms, but they do offer live sports. Amazon also offers the cloud gaming service Luna separately in the USA. Disney has stopped most of its in-house game developments for lack of success and is limited to licensing successful brands to game developers. With Arcade, Apple has an additional range of games in addition to Apple TV +, but the two services are not firmly interwoven. Netflix has already established proximity to the player community with content on well-known game titles such as The Witcher and Tomb Raider. Netflix has also already secured the gaming rights for the “Stranger Things” brand.