Google's Stadia Streaming Service to Arrive in November -- Update
June 06 2019 - 5:54PM
Dow Jones News
By Sarah E. Needleman
Google plans to charge $10 a month to access mostly older
videogames through its new cloud-streaming service, an offering
that analysts expect to face difficulty in standing out among
seasoned rivals.
The service, called Stadia, will be available in 11 countries in
November, including the U.S., Google said Thursday. The Alphabet
Inc. unit didn't provide a specific launch date for the service,
which it unveiled in March and said will include a lineup of
roughly 30 games.
The key to success will rest on how many new blockbusters Google
will ultimately sell through Stadia, analysts said, in addition to
the quality of the nascent technology supporting it. Google said it
plans to add more games down the line.
"At launch, it's not going to be an instant disruptive force,"
said Piers Harding-Rolls, an analyst at research firm IHS Markit.
"There was no evidence of heavy-hitting exclusives, which would
drive adoption over other platforms already on the market."
With cloud streaming, people can play games from an
internet-connected device, avoiding the need for pricey dedicated
hardware such as a game console like Sony Corp.'s PlayStation 4. It
also means people can play games instantly, without having to buy a
physical copy or download a file.
Google's Stadia is the first offering of its kind, but other
tech giants including Microsoft Corp. and Electronic Arts Inc. are
working on similar offerings. The technology is highly challenging
to pull off because unlike movies and television shows, games are
interactive. Even the slightest of delays can mean the difference
between winning and losing in a competitive game such as Activision
Blizzard Inc.'s "Call of Duty."
Stadia users who play the service on a TV will need a Google
Chromecast Ultra streaming device. Google said it is offering an
introductory package with that item and a game controller, plus
three months of access to Stadia and the shooter game "Destiny 2"
for $129. Users will also be able to buy games without subscribing
to Stadia's monthly service, Google said. Players can also use a
keyboard and mouse, rather than a controller.
"It's not a slam-dunk value proposition," said Cowen analyst
Doug Creutz. Sony and Microsoft's current-generation consoles today
are on sale for as little as $225, and users can purchase just
about any significant game on the market for them. Online
multiplayer support costs extra.
Google's announcement comes less than a week before the game
industry's annual E3 trade show, scheduled to open Tuesday in Los
Angeles. Microsoft is expected to share more details about its
competing cloud-gaming initiative at a nearby event on Sunday.
Last month, Sony said it would consider using Microsoft's Azure
cloud service for streaming game content as well. Sony currently
offers a game-streaming service for its PlayStation system and
personal computers called PlayStation Now, though it features only
older games.
Write to Sarah E. Needleman at sarah.needleman@wsj.com
(END) Dow Jones Newswires
June 06, 2019 17:39 ET (21:39 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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