Technology company Apple is apparently set to launch a games subscription service. The company’s not commented but multiple sources claim it’s been talking to publishers since last year about a Netflix-type offering for games.
CGTN’s Phil Lavelle reports from Los Angeles.
Take Apple, Netflix, And a bit of gaming DNA. What do you get?
Well, nobody knows for sure – but the tech world’s certainly talking about it.
Few are privy to what goes on inside Apple’s secretive HQ. Big software announcements tend to come in June. But behind the glass – apparently – a gaming revolution is being planned.
“I think that games are really lucrative,” Samson Amore, a tech reporter with the Los Angeles Business Journal said. “I think that Apple has seen that.”
Multiple anonymous sources, reporting that Apple is planning to launch a gaming streaming service, having started talking to publishers last year.
The theory is that it would follow the Netflix model. Apple’s apparent idea is to do that with games. All you can play – as long as you pay.
“I think Apple is getting into a lot of areas that don’t rely solely on the iPhone,” Amore said. And that might be because it has to.
Officially the world’s most valuable company again – but realizing it can’t rely on iPhone sales in a saturated marketplace and when it’s not taking over China in the way it had hoped.
“I think the iPhone X is really expensive right now and people are trying to hang onto it as long as they can without replacing it and that means Apple’s revenue is gonna slow a little so they’re trying to find a way to supplement that.” Amore said.
Which is where services come in. Charging for cloud storage, music streaming, apps, payments, insurance and so on.
Moving into its own original TV programming to take on the likes of Netflix. And reportedly, about to launch a similar subscription service with news too.
“They know investors really love subscriptions,” Amore said. “Subscriptions really get investors going when it comes to putting more money into acquisitions or things like that.”
The App Store has been a huge success for Apple.
It made over a billion dollars over the Holiday season – more than 322 million on New Years Day alone.
“They would get a whole new section of gamers that are untapped and are waiting to be catered to,” said Ray Carsillo, a video game expert. Which explains why this could be such a big deal for Apple.
Trouble is – there’s already competition on the scene. This market’s already overcrowded.
“I think that the impact would be seen on what kinds of exclusive games they get. The only way that this would work – and of course, Apple still exploring options, would be what kind of games they can offer on their service exclusively,” Carsillo said.
“What makes Micosoft’s X-Box GamePass and Sony’s Playstation now so successful are the exclusive games they have in their library. If Apple can lure people to develop things exclusively for Apple TV, for the iPhone, for the iPad, suddenly this becomes a more viable service. If they can’t get the games, the impact will be negligible.”
As always, no comment from Apple – it never comments on speculation.
But the company that reinvented the iPhone hopes apparently to reinvent how your play your videogames too.