The numbers are in and it appears like Microsoft definitely planted its flag in cloud gaming.
As reported by 9to5Google, a new report from the Competitors and Markets Authority in the UK, Microsoft has a dominant share of the cloud gaming market. The UK company was researching info on the trade as a part of the federal government’s concern about competitors if the company’s acquisition of Activision Blizzard was to undergo.
Based on the findings, Microsoft noticed an unlimited leap in market share between 2021 and 2022. Within the prior yr, xCloud, Microsoft’s title for its cloud gaming service throughout PC, Xbox, and cellular units, solely constituted 20-30% of the market. The dominant participant at the moment was really Sony with its PlayStation cloud service. Nvidia’s GeForce NOW service was competing instantly with Microsoft on the time. Google Stadia, which was shut down final month, solely had lower than 10% of the market.
|PlayStation – Cloud||30-40%|
By the tip of 2022, nonetheless, issues seemed remarkably completely different. Microsoft noticed its market share within the cloud gaming market leap from 40% to 60%-70%. Sony’s share crumbled in half, Nvidia dropped by at the least 30%, and Google Stadia additionally halved. Amazon Luna, Amazon’s new cloud gaming enterprise, solely grabbed lower than 5% of the market.
|PlayStation Cloud Gaming||10-20%|
With this knowledge in thoughts, there are two issues that make extra sense at the moment. One is that Google most likely made the precise resolution in shutting down Stadia. Individuals who used the service, regardless of it not gaining a lot in reputation, beloved it. It was a extremely cool concept. Nonetheless, like lots of the issues that Google tries, this one simply didn’t pan out.
The opposite factor that makes much more sense is why so many governments are suing to block the Microsoft acquisition of Activision Blizzard. In the event that they’re taking a look at this, it appears fairly clear that Microsoft is the dominant participant in at the least one a part of the gaming trade. Whereas cloud gaming continues to be a comparatively small a part of the full trade, it’s a rising one.
This newest report is certain to solely bolden those that wish to block the deal.