Jeff Gattis, Amazon's head of gaming, has suggested that the future of video games may lie in streaming rather than dedicated consoles. Speaking to the BBC, Gattis indicated that the escalating cost of gaming technology is likely to prompt more consumers to stream games online, bypassing the need to purchase expensive new hardware. While acknowledging that some players will continue to invest in physical devices, he believes improving streaming technology makes it a more viable option than ever before.
This prediction comes as Amazon integrates its cloud gaming service, Luna, directly into the Prime Video app. UK and US users with Fire TVs will now find Luna under a dedicated 'Games' tab within the Prime Video interface, sitting alongside films and TV shows. Cloud gaming allows players to stream and interact with games from a remote server using various devices such as phones, tablets, or controllers, eliminating the need for powerful local PCs or consoles. Gattis highlighted a vast, untapped audience of billions of global gamers who do not own traditional gaming hardware, which Amazon aims to reach through accessible streaming solutions.
The rising cost of gaming hardware is a significant factor in Gattis's forecast. In recent years, the price of consoles and gaming PCs has climbed due to increasing component costs. Both Sony and Microsoft have raised the prices of their flagship consoles, while new devices like Valve's Steam Machine start from around £879. Christopher Dring, editor-in-chief and co-founder of The Game Business, noted that many people desire to play high-end titles, such as the upcoming Grand Theft Auto 6, but are deterred by the technical and financial requirements of owning the necessary equipment.
However, the path to widespread cloud gaming adoption is not without its challenges. Past ventures, most notably Google Stadia, which launched in 2019 and closed in 2023, failed to gain significant traction. Experts like Joost van Dreunen, a professor of games business at NYU Stern, point to issues such as latency, inconsistent user experiences, and the absence of a strong business model as key hurdles. Many high-end games still require a controller, and publishers may be hesitant to fully embrace a subscription-based streaming model over traditional game sales, which offer significantly higher revenue.
Despite these obstacles, the increasing expense of consoles could be a turning point. Van Dreunen observed that for the first time, console prices are rising even towards the end of their lifecycle. While he remains sceptical of an immediate mass migration to the cloud, he predicts a gradual adoption of alternative gaming methods. For UK consumers, this could mean a future where accessing cutting-edge games becomes more about internet speed and subscription fees, and less about a hefty upfront investment in hardware.