Netflix Embraces Cloud Gaming as the Future in a Console-Free Era

Netflix’s foray into gaming has faced some challenges, with the streaming service shutting down its AAA game development studio before releasing any titles and gradually scaling back its indie studio acquisitions. However, co-CEO Ted Sarandos remains optimistic about the company’s future in gaming, particularly in the realm of cloud gaming.

During a recent appearance at a Bloomberg event, Sarandos was asked if he believes Netflix will still be involved in gaming five years from now. He responded affirmatively, highlighting the potential of mobile gaming as a stepping stone to cloud gaming. He emphasized the exciting possibilities of using mobile devices as remotes for gaming on TVs, especially in a world moving beyond traditional consoles.

Sarandos expressed a desire for Netflix to be an early player in this space, noting the value of gaming for expanding intellectual properties and enhancing brand engagement. He envisions creating accessible, branded games for casual gamers rather than focusing on deep, narrative-driven experiences like those from Night School Games, which Netflix owned until its closure shortly after releasing Unhinged.

When asked about the possibility of acquiring major game publishers like Take-Two or parts of Xbox, Sarandos indicated that Netflix is not currently looking to make significant acquisitions. He pointed out that the company has historically focused on building from the ground up rather than buying established entities. He reiterated that Netflix’s growth strategy will primarily be organic, seeking opportunities that align with its business goals, including in the gaming sector.