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TechCheck+ Netflix's side quest: A deep dive into its ambitious plans to become a gaming giant 10/20/23

TechCheck

CNBC

Disruptors, Tech, Technology, Cnbc, Management, Business, Faang, Investing

4.566 Ratings

🗓️ 20 October 2023

⏱️ 11 minutes

🧾️ Download transcript

Summary

Netflix has quietly been building out a library of more than 70 video games as part of an ambitious new push to become a gaming giant, testing out a cloud gaming service and posting job openings for its first big-budget, blockbuster game. But it's a notoriously tough market to break into, one that many tech and media giants have tried at and failed. The undertaking is just one of a slew of new business lines that the Netflix has been experimenting with, and they're more important than ever as its stock lags behind the megacaps it used to be on par with. This week on Tech Check, we dive into Netflix's new side quest.

Transcript

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0:00.0

Stranger Things is one of the most watched series in Netflix history.

0:08.0

This is Stranger Things The Game.

0:11.0

And this is Stranger Things Puzzle Tales. And this is Stranger Things 1984. Just three games

0:18.9

and an entire library that Netflix has been building as part of a stealthy and ambitious new push.

0:25.7

The streaming giant says it's just getting started on what could be a massive opportunity

0:30.0

in video games.

0:31.0

We believe that we can build games into a strong content category leveraging our

0:37.5

current core film and series by connecting members, especially members that are fans of specific IPs, with games that they will love.

0:46.5

But first, Netflix will have to crack a notoriously tough market, or even giants like Google have failed.

0:52.5

It's just one of a slew of new business lines

0:54.5

that Netflix has been experimenting with,

0:56.7

that are more important than ever,

0:57.9

as its stock lags behind the mega caps

0:59.9

that used to be on par with.

1:01.9

This week on Tech Check, we're going to dive into Netflix's new Side

1:05.4

Quest video games.

1:07.8

You wouldn't be alone if you never realize Netflix makes video games

1:14.3

something that the company has even poked fun at in this billboard from last year.

1:18.2

Two years ago it announced it was going all in on gaming as subscriber growth slowed after a COVID

1:24.0

surge. It snapped up three studios in a matter of months and brought in big names

1:28.4

including Mike Verdu, a top gaming executive with history at EA, Zenga, and Facebook.

1:33.7

And since then, it's quietly amassed a huge but widely varied library

...

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