Will This Streaming Stock Succeed Where Alphabet Failed?
Cloud gaming is a burgeoning market, with Grand View Research estimating that the industry will grow at a compound annual rate of 45.8% from 2022 to 2030. As a result, multiple companies have tried their hand at cloud gaming, and the industry is gradually learning what the most successful approach looks like to consumers. For instance, Microsoft has succeeded with its cloud gaming feature, which is a bonus to its Xbox Game Pass subscription service.
However, not all companies have flourished in the industry. Alphabet launched its cloud gaming service, Google Stadia, in November 2019, a subscription-based platform where users could stream games from nearly any device and anywhere with a stable internet connection. Unfortunately, Alphabet's strategy with Stadia was flawed from the start and led the company to announce the shutdown of its service at the end of September.
Now Netflix (NASDAQ: NFLX) has revealed it is "seriously exploring" the creation of a cloud gaming service as part of its Netflix Games platform. Alphabet may have failed in the cloud gaming space, but Netflix is far better equipped to succeed and truly take advantage of the quickly growing market. Here's why.
Source Fool.com
