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Google’s recent decision to close its dedicated game studios — opened to much fanfare just two years ago — has been seen by some as an admission of failure; another big tech brand that doesn’t quite “get” gaming.
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It can’t have been an easy decision, and thoughts naturally turn to the 150 developers now looking for new jobs in a challenging market. But the existing strategy was trying to be all things to all people. This pivot could see Stadia become a proper games-as-a-service business, rather than a console that happens to be in the cloud.
Google may have only been aping the approach of platform holders by using exclusives as a way to tie gamers in for several years, but do we really need more of the same?
The quad-opoly of Sony, Microsoft, Nintendo, and PC games is already fragmented enough. One of the big benefits of cloud gaming is that the hardware becomes less of an issue, with the focus instead on consumer convenience and recurring subscription revenues for the providers. By closing its studios, Google can now focus on growing its subscriber base without the expensive distraction of making its own triple-A games.
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