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There is big money to be made in the world of gaming. But it is never enough for the main actors in the industry, who are always looking for new revenues stream.
This certainly explains the new deal that Microsoft and NVIDIA have just signed, and which they announced on February 21st, that will link the two companies for the next 10 years. Here is more on the subject.
The Video Game Industry
To understand the importance of the deal that these two major companies have signed, we have to take a quick look at the video game industry, first. It is so big that it has helped other industries grow on the internet, such as online casinos which use a lot of the technology in the games that they offer, which are now similar to the level of regular video games. Today, people can also find a new crypto casino, which combines this method of payment to the rest of the technology that they use, which is another step in this industry that is bound to continue to grow, as well. Probably not to the level of the other, though, as it would be impossible to reach their numbers, since it is the biggest entertainment industry, today.
The first number that tells it all, is the value of the video game market, which is currently just a little below $200 billion. Then, the number of players provides us with a quick view of the situation: More than 80% of Americans pay to play video games, every year. Those who play regularly spend an average of 7 hours per week, doing so. This explains the monetary importance of each deal being made in this industry sector, and the last one between Microsoft and NVIDIA is a significant one.
Bringing Microsoft PC Titles to New Devices
The agreement is a way for Microsoft to gain more revenues out of their PC games. To do so, they have offered NVIDIA the opportunity to bring some of their titles into cloud game streaming. This means that the titles will now be available to be played on macOS, Chromebooks, smartphones and other devices. The choice of NVIDIA is not surprising, since they already have more than 25 million members around the world, which makes them a strong partner.
The games that will be included in this agreement will also include the titles from Activision Blizzard, when the deal with Microsoft to acquire them, will be finalized. The biggest seller from this company being Call of Duty, which will now be found on the NVIDIA GeForce NOW cloud gaming service.
Cloud Streaming is seen as the Future of this Industry
When the press conference was held to announce the deal, both Phil Spencer, CEO at Microsoft Gaming, and Jeff Fisher, senior vice president for GeForce at NVIDIA, were present. The latter referred to the deal as one that will propel cloud gaming into mainstreaming, by suddenly increasing the offer with a great number of titles, all at once. Both agreed that streaming helps players to have an easier access to their favourite games, paving the way for the future.
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