Square Enix president Yosuke Matsuda says the company is developing cloud-native games in anticipation of cloud gaming becoming “a major trend” over the next five years.
In a new year’s letter published onSquare Enix’s website, Matsuda said the games industry stands on the “cusp of a new era” following the recent launches ofGoogle StadiaandProject xCloud, and the arrival ofPS5andXbox Series Xlater in 2020.
“Against this backdrop of change, we are not only making steady progress on developing next-generation console titles, but also actively readying ourselves to support cloud gaming, which we expect to take off with the advent of 5G,”he said.
Matsuda believes a major driver of cloud gaming adoption will be exclusive content and new experiences not possible on traditional game consoles.
“From a game development perspective as well, we will strive to create gaming experiences only possible in the cloud, meaning developing cloud-native or cloud-centric games,” he said.
With smartphone technology maturing, Matsuda said cloud gaming’s potential to eliminate the need for traditional consoles orPCs will enable the company to reach new consumers in markets like India and South America.
While Matsuda said there are “a mountain of challenges” to overcome, including technological ones and telecommunications cost issues, Square Enix has “no doubt that cloud gaming will represent a major trend over the next five years as we enter the age of 5G” and the company plans “to stay on top of new developments and leverage cloud gaming to drive new growth”.
Microsoftlaunchedthe public preview of Project xCloudin October 2019, whileStadia launched in 14 markets in November.
TheXboxfirm is reportedly in early talks with first and third parties about Project xCloud exclusives butdoesn’t have current plans to release any, whileGoogleVP and head of Stadia Games & EntertainmentJade Raymondhas said the company will deliver some “exciting” exclusive content each year, but that it may take several yearsbefore a “big bet” from a first-party studio pays off.
Matsuda also said Square Enix is “undertaking a wide range of initiatives that go beyond gaming” in the field of entertainment AI, and continuing R&D efforts into technologies such asXR“as the world looks forward to the arrival of new devices like AR glasses”.
It was recently reported thatAppleis creatinga combined virtual reality and augmented reality headsetwith a focus on gaming, watching video and virtual meetings.
