Netflix‘s response to Microsoft’s acquisition of Activision Blizzard has certainly been positive. Many personalities have reacted positively to this sudden event that happened a few days ago. Administrators from Netflix have reacted to Microsoft‘s recent announcement of the initiated takeover of Activision Blizzard, claiming Microsoft‘s latest maneuver has further shown that subscription-based services are effective. Microsoft also upholds Game Pass which boasters 25 million subscribers and is predicted to expand in coming years.
Netflix COO and chief product officer Greg Peters commented during the cooperation’s recent earnings briefing. “It was exciting to see the activity in the space”. He further added, “And I think to some degree, it’s an endorsement of the core thesis that we have around subscription being a great model to connect consumers around the world with games and game experiences.” He went on, “So such an expansion would demonstrate the validity of the idea of the subscription service also concerning video games according to Netflix, obviously referencing to Xbox Game Pass.
Netflix’s Plan To Branch Into Gaming Industry
Netflix has also grown its root in the gaming space in recent years. It’s no surprise that they see the potential these unexplored mines hold. They have slowly started to tap into the mobile gaming industry. Peters mentioned that fans can expect to see Netflix make further progress in this space when it comes to licensing. “We’re open to licensing, accessing large game IP that people will recognize. And I think you’ll see some of that happen over the year to come,” Peters expressed.
As the COO stated, Netflix will initiate new “casual and hardcore” games as early as 2022, expanding Netflix‘s game library available in the subscription. However, the idea is to experiment, for now, to see what works for them. It is also offering interactive experiences of several types that could stand between the categories of video games and television series.
Netflix has already started executing its idea to release titles by experimenting with small games that they offer in their subscription. However, Peters assured the commitment they are willing to put in this area with the desire to soon launch new games of various types, also dedicated to widening its audience.
Peters went ahead to quote that Netflix will consider making “interactive experiences” instead of just licensed games. “But we also see back to test like building out a whole cloth and the ability to take the franchises or the big titles, let’s call it, that we are excited about and develop interactive experiences that are connected to those. We see a huge long-term multiyear opportunity in that, too,” Peters added.
Commenting further, Peters prompted everyone that it’s “still very early days” as to what Netflix is trying to experiment in the gaming market. Though current Netflix games have brought fruitful results. Peters mentioned “a growing number of monthly users, daily active users…” Netflix‘s ambition is to expand itself so it can experiment further into genres. That is why Netflix got its hands on Oxenfree studio Night School.
Peters ensured the expansion of Netflix in the gaming sector by stating, “But really, as we’re doing this, we’ve been building in parallel what I’m super excited about it which is the sort of internal development capacity, our game studio. We’ve been hiring some incredible talent that brings a set of experience to this process,” Peters said.
On the whole, we can expect Netflix to take the gaming sector seriously in the coming years. They have shown interest and expressed plans to explore further into this territory. Netflix may end up competing with giants in the future.
Microsoft buying out Blizzard Interactive has been supported by gamers for the most part. Part of the reason is simply that Blizzard was full of controversy. They had been on a steady decline for a while. However, Microsoft has its own goals set in mind.