Samsung launches cloud gaming service for one billion Galaxy users
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Samsung launches cloud gaming service for one billion Galaxy users

According to The Korea Economic Daily, Samsung Electronics will launch a mobile cloud gaming service that will be available to around one billion Galaxy smartphone users worldwide. With this move, the South Korean tech giant aims to diversify its revenue amid ongoing declines in demand in the smartphone market.

    Image source: Samsung

Image source: Samsung

Cloud gaming services allow you to play games without having to install them on the device, since they are launched on a remote server and only then the image is transmitted to the user’s gadget. Device owners don’t have to worry about whether their smartphone or tablet meets the system requirements of a particular game. Such services also allow you to start and continue the game on different devices without worrying about saved user progress, since all this data is also stored in the cloud service. Cloud streaming services also allow you to play games not intended for smartphones.

Citing sources in South Korea, The Korea Economic Daily writes that research shows that about 90% of people want to play certain games when they hear about them through advertising. However, far fewer people download games because many don’t want to bother with installing them. “The ability to run games in real time via a remote cloud service on smartphones will definitely lead to a growth in gaming audiences.”“, said the interlocutor of the publication.

Samsung will unveil its cloud gaming platform strategy at the Samsung Developer Conference on October 5 in San Francisco. The service has already undergone a closed test in Canada and received positive reviews there. The company plans to launch open testing of the platform in the US in the near future.

The company is negotiating with global game manufacturers to bring their products to the platform. The South Korean giant itself is ready to offer cloud gaming services for free to owners of Galaxy devices, although users of the platform will have to pay for the games themselves.

The platform is designed to help game publishers expand their reach to the one billion Galaxy smartphones shipped worldwide to date. Samsung’s new cloud gaming platform is also expected to reduce costs for publishers, as the South Korean company aims to offer them lower service fees on its platform than in the Apple App Store and Google Play, where the commission for any purchases up to 30% is 30%.

“This will be a win-win platform for both Samsung and the gaming industry as a whole.”” said a Seoul-based information technology source in an interview with the publication. The Korea Economic Daily writes that Samsung decided to launch a cloud gaming service for mobile devices as revenue from simple sales of smartphones and tablets fell amid the current global decline in demand.

Global smartphone shipments are expected to fall 6% to 1.15 million devices this year compared to 2022, according to research firm Counterpoint Research. The disappointing forecasts forced Samsung to turn to the growing mobile gaming market. According to the latest estimates from analytics firm data.ai, the mobile gaming market is valued at $108 billion, more than twice the size of the home and portable gaming console market ($46 billion) and the PC market ( 40 billion US dollars).

The same Apple launched a game subscription service called Apple Arcade a few years ago, which includes more than 200 different games. In addition, all of these games on the service are offered without integrated advertising and do not include any in-game purchases. Samsung also wants to reduce its dependence on direct sales of smartphones and generate a stable profit by collecting commissions from game makers hosted on its cloud gaming platform.

South Korean media recalls that Samsung launched the cloud gaming service Samsung Gaming Hub last year, but it was intended for smart TVs. It brings together gaming streaming services such as NVIDIA GeForce NOW, Xbox Cloud Gaming and others. According to industry sources, the company is already generating billions in sales with this platform. In addition, the company receives commissions from streaming service providers such as Netflix and Disney+, whose applications are integrated into Samsung smart TVs.

About the author

Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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