Netflix has aimed to make a mark in the video game industry by offering games on a subscription basis since 2021. However, the closure of its newly established studio ‘Blue’ before any game release raises doubts about its larger gaming ambitions. Despite having popular titles linked to its series, less than one percent of subscribers engage with the gaming content. With the gaming market booming, Netflix remains hopeful but faces challenges in attracting players.
Netflix has made significant strides in the gaming industry, aiming to establish a strong presence in this competitive market. Since 2021, the streaming giant has expanded its offerings by providing video games as part of its subscription service, free of additional charges. However, recent developments indicate that the company is facing challenges in achieving its gaming ambitions.
Netflix Shuts Down Studio Before Launching Any Titles
The gaming library on Netflix features titles inspired by popular original series like “Stranger Things,” “Emily in Paris,” and “Money Heist.” Yet, the company had bigger plans. In 2022, Netflix launched a new studio called “Blue,” which has been closed before releasing a single game.
This studio had been working on a high-profile AAA game, suggesting that Netflix was ready to invest a substantial budget into its development and marketing. An industry insider revealed in April 2023 that they were collaborating with Netflix on a game tied to a new franchise. However, the reason for the studio’s closure remains undisclosed, leading to speculation about the future of Netflix’s more ambitious gaming projects, according to tech site The Verge.
The Rationale Behind Netflix’s Game Offerings
Netflix’s foray into video games stems from multiple strategic considerations. According to co-CEO Greg Peters, the company aims to enhance its entertainment value by integrating games into its subscription model. This approach allows subscribers to enjoy movies, series, and games all in one place.
Moreover, offering games serves to bolster Netflix’s brand presence. By creating games based on its own franchises, the streaming service can prolong the life cycle of its content and maintain audience interest across various platforms.
Another motivation could be the prospect of tapping into a highly lucrative gaming market. Industry estimates from market research firm Newzoo project revenues in the gaming sector to be around $187.7 billion. Given this potential, it’s not surprising that Netflix aims to seize a share of this booming industry.
However, reports indicate that the execution of this plan has not been particularly fruitful. According to data from Gamesindustry.biz published at the end of 2023, less than one percent of Netflix subscribers engaged with the gaming service daily. In September 2023, it was estimated that only about 2.2 million users played Netflix games, in stark contrast to its 247 million subscriber base.
Impressive Titles Joining Netflix’s Gaming Lineup
Among the noteworthy games available on Netflix is “Grand Theft Auto: San Andreas,” marking a significant milestone for the platform. As reported by Mobilegamer.biz, over 210 million games have been downloaded through Netflix, with approximately 25 million of those being for the iconic title. The subscription also includes other classics from the franchise, such as “Grand Theft Auto 3” and “Vice City.”
In addition, Netflix has secured various acclaimed titles over the past few years, including the strategic game “Into the Breach,” the popular roguelikes “Dead Cells” and “Hades,” and the poignant building simulation “Spiritfarer.” Iconic franchises featuring beloved characters like Sonic, Lara Croft, and the Teenage Mutant Ninja Turtles are also part of Netflix’s video game offerings. Additionally, soccer enthusiasts can enjoy “Football Manager 2024 Mobile,” further diversifying the gaming selection available to subscribers.