Netflix has ambitious plans for the future, with the streaming giant reportedly considering possibilities to generate revenue from its gaming service by exploring the addition of in-app purchases and ads.
Budget expansion might push Netflix to include in-app purchases and ads in games
From what has surfaced online, the streaming giant has had talks about ideas like in-app purchases, charging for more advanced games, or giving ads-supported subscribers access to games with ads. This is a potential shift for Netflix, which has avoided putting ads or in-app purchases in its games to focus on player enjoyment, which we have noticed for two years now.
The discussions don’t mean Netflix will decide to monetize games, as the company values open debate on its strategy. Netflix’s gaming service started in 2021, includes mobile games and a few studio acquisitions. Despite a growing number of game downloads, it’s still a small fraction compared to major game companies, The Wall Street Journal reports.
Netflix’s gaming budget is expected to increase as it aims to create high-quality console games, potentially leading to discussions on charging for those games. They have made intentions clear by recruiting numerous game executives, with seeking a director for its inaugural high-budget game. The making costs might have prompted Netflix to consider the possibility of charging for such premium gaming experiences, say sources.
Netflix looks to have an ambitious 2024
As for now, we can say that Netflix is on a roll. Last year itself, they launched over 40 games, which also included some chart-buster titles such as Grand Theft Auto Trilogy – The Definitive Edition, Football Manager 2024 Mobile, and Storyteller with two internally developed games, Oxenfree II: Lost Signals and Netflix Stories: Love is Blind.
2024 will be much bigger with Netflix sharing this year’s lineup with some biggies awaiting release such as Braid: Anniversary Edition, Game Dev Tycoon, and Super Evil Megacorp’s movie-inspired Rebel Moon game to name a couple. Amidst this, do not forget their idea of having their very own cloud gaming service in the future.
With these in sight, it won’t be surprising to see wants to jump into the idea of having advertisements or in-app purchases in the games they offer to boost their revenue, while also risking a shift from a completely free model with a Netflix subscription.