Alphabet (NASDAQ:GOOGL)’s GOOGL division Google has been firing on all cylinders to expand presence in the cloud gaming space, backed by the growing initiatives for its game streaming platform Stadia.
Alphabet recently added five games titled Darksiders III, The Darkside Detective: A Fumble in the Dark, Bloodstained: Ritual of the Night, Shantae: Risky’s Revenge — Director’s Cut and DreamWorks Dragons: Dawn of the New Riders to the platform.
The new games are now available with the subscription of Stadia’s premium service called Stadia Pro. With these additions, Alphabet expands its Stadia game portfolio. Currently, the number of game titles on Stadia stands at 45.
We believe, the latest move is expected to help GOOGL attract game streamers to its platform.
This, in turn, will bolster the premium subscriber base of Stadia, which will get reflected in the top line of Alphabet.
Growing Stadia Initiatives
The addition of game titles is in sync with GOOGL’s growing efforts toward delivering an enhanced gaming experience to the players.
Moreover, Alphabet added six titles, such as TRANSFORMERS: BATTLEGROUNDS, Wreckfest, Destroy All Humans, The Falconeer: Warrior Edition and Foreclosed to Stadia Pro service last month.
Further, GOOGL introduced a free-to-play game called Nine to Five, which does not require a Pro subscription.
Additionally, Stadia will be reportedly introduced to Samsung’s selected smart TV lineups for 2022. The TVs will support apps for Stadia as part of Samsung’s Gaming Hub.
Stadia recently also became playable on LG’s WebOS smart TVs. This is another positive.
Cloud Gaming Space Holds Promise
We believe, all the abovementioned endeavors are likely to aid the Google unit in capitalizing on the immense prospects present in the booming cloud gaming market.
Per an Allied Market Research report, the global cloud gaming market is expected to hit $21.9 billion by 2030, witnessing a CAGR of 57.2% between 2021 and 2030.
Given this upbeat scenario, not only Alphabet but also other companies like NVIDIA NVDA, Microsoft MSFT and Amazon AMZN are making concerted efforts to gain a strong footprint in this promising market.
Recently, NVIDIA announced its next-generation cloud gaming platform — delivering GeForce RTX 3080-class gaming on GeForce NOW. Further, the addition of Electronic Arts’ hit games like Battlefield 1 Revolution, Mirror's Edge Catalyst, Unravel Two, Dragon Age: Inquisition and Apex Legends to NVDA’s GeForce NOW, remains noteworthy.
Like Google Stadia, NVIDIA GeForce NOW will also be introduced to Samsung’s selected 2022 smart TV lineups.
Another tech giant Microsoft is gaining from combining Project xCloud and Xbox Game Pass. Its decision to extending its cloud gaming to Xbox Series X and Series S along with Xbox One consoles remains a major positive.
This extension is likely to drive Microsoft’s momentum among the gamers as they are able to play multiplayer games with just an invite and access Gen 9-only Xbox games like Microsoft Flight Simulator and The Medium on Xbox One.
Amazon continues to gather steam from its well-performing cloud gaming service called Luna. AMZN recently announced addition of game titles, namely Devil May Cry 5, Yakuza: Like a Dragon, Adventure Time: Pirates of the Enchiridion, Chorus and Riders Republic.
The company added more titles, such as Judgment, Myst and Rainbow Six: Extraction.
Nevertheless, Google division’s notable cloud gaming efforts are expected to continue aiding its competitive edge against the abovementioned companies.
Currently, Google’s parent Alphabet carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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