Google’s cloud-based gaming platform, Stadia, is facing an uncertain future after the company shut down its internal game development studios responsible for creating exclusive games for the platform. The closure of the studios in Montreal and Los Angeles resulted in the cancellation of several games and layoffs for dozens of employees. The move has raised questions about Stadia’s ability to differentiate itself from competitors without exclusive games and maintain morale and quality of service. However, Google has stated that it remains committed to the platform, will work with third-party publishers and offer its technology to other companies to help offset development costs.
Google Stadia’s Future in Question as Company Cuts Ties with Exclusive Game Studio
Background
Google Stadia is a cloud-based gaming platform that was launched in 2019 to compete with the likes of Playstation and Xbox. The service allows users to play games on any device with an internet connection, without the need for a console or powerful gaming PC. However, the service has faced numerous challenges since its launch, including a lack of exclusive games and technical issues.
Recent Developments
On February 1, 2021, it was announced that Google was shutting down its internal game development studios, which were responsible for creating exclusive games for Stadia. This move resulted in the closure of two studios, located in Montreal and Los Angeles, and the cancellation of several games that were in development.
Impact on Stadia’s Future
The closure of Google’s game development studios has raised questions about the future of Stadia. Without exclusive games, it will be difficult for the platform to differentiate itself from its competitors. In addition, the closure of the studios has resulted in layoffs for dozens of employees, which could damage morale and impact the quality of service provided by Stadia.
Reaction from Industry Leaders
The news of Google’s decision to cut ties with its exclusive game studio has been met with disappointment from industry leaders. In an interview with CNBC, Phil Spencer, the head of Microsoft’s gaming division, stated that “creating first-party content is just difficult.” He also praised the work of Google’s game development studios and expressed sympathy for those affected by the closures.
Future Plans for Stadia
Despite the closure of its internal game development studios, Google has stated that it remains committed to Stadia and will continue to work with third-party publishers to bring new games to the platform. In addition, the company plans to offer its Stadia technology to other companies, which could help to offset the costs of development.
Conclusion
The closure of Google’s internal game development studios is a setback for Stadia, but it does not necessarily mean the end of the platform. By working with third-party publishers and offering its technology to other companies, Google may be able to keep Stadia afloat in the highly competitive gaming market. However, it remains to be seen whether Stadia will be able to overcome the challenges it has faced since its launch and establish itself as a major player in the gaming industry.