Google will close its internal game development studios Stadia

FILE PHOTO: Viewers watch during a keynote speech Google announces a new video game streaming service called Stadia, which seeks to leverage the company’s cloud technology and global data center network at the San Francisco Game Developers Conference, California, USA, March 19, 2019. REUTERS / Stephen Lam

(Reuters) – Google Alphabet Inc said on Monday it would stop internal game development for Stadia, making the cloud-based game streaming service entirely dependent on the titles of other game developers and publishers.

The stadium was launched in 2019 together with an internal game development unit, which was expected to make titles for the platform.

The company said Monday it is shutting down the unit because of the high costs involved in developing games that attract users.

“Creating the best in-class games from the start requires many years and significant investment, and the cost is growing exponentially,” said Phil Harrison, vice president and general manager of Google Stadia, in a blog post. (bit.ly/2YDcfqQ)

Harrison also said that Jade Raymond, head of Google’s Games and Entertainment Stage, will leave the company to look for other opportunities.

The stadium saw an increase in the number of users last year, after the technology giant offered two months of free access to its premium version to players housed at home due to the COVID-19 pandemic.

Reporting by Akanksha Rana and Tiyashi Datta in Bengaluru; Editing by Aditya Soni

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