The CEO of publisher Take-Two (GTA 5, Red Dead Redemption 2) has commented on Google Stadia. The launch was slow and there were too many promises about what the technology could deliver. This disappointed buyers’ trust. Nevertheless, Strauss Zelnick believes that streaming has a future.
Who is speaking? It is the CEO of Take-Two, Harry Strauss Zelnick (62). Take-Two is one of the major US publishers. Their game offerings include titles like GTA 5, Red Dead Redemption 2, Civilization 6, the Borderlands series, and NBA 2k.
Zelnick is known for addressing sensitive topics. In 2018, he made clear statements about the Chinese gaming market and how unfair it is from the perspective of US companies, as they are virtually forced to enter into partnerships with local companies. Normally, no one talks about that.
As GameSpot knows, Zelnick was still optimistic about streaming in October 2019 and was rather critical of game passes and subscription models like the Xbox Game Pass, which have since experienced a boom (via GameSpot).
Google Stadia: Too much promised, customers rather disappointed
This is what Zelnick says about Google Stadia: Zelnick spoke at a conference at the Waldorf Astoria Hotel in New York. There he said:
The streaming technology has arrived. The launch of Google Stadia was slow. I think there were too many promises about what the technology could deliver, and this led to some disappointment among customers.
Strauss Zelnick
Although Zelnick believes that streaming technology can work in the future, he apparently sees a misjudgment of the market with Google Stadia.
He believes that Google Stadia’s assumption, that people want to spend money on games but do not want to buy a console, was difficult:
The belief that streaming will change everything was based on the perspective that there are a lot of people who have a real interest in interactive entertainment, who really wanted to pay for it, but did not want a console. I am not sure that this has really come to pass.
Strauss Zelnick
Despite his assessment, Take-Two will not withdraw support from Google Stadia.
What’s behind it: In 2019, there were two major trends in gaming:
- Streaming – players do not need to buy a console and can play everything on any device, but customers still have to acquire the games individually
- Subscription services – you pay a fixed amount (a flat rate) and have access to a large number of titles, which are supplemented with current games – console and accessories still need to be purchased
So far, it clearly seems that subscription services are in the lead. Looking at the discussion about PS5 vs. Xbox Series X, hardly anyone mentions waiting to see if a streaming offer can prevail.
Zelnick describes the problem: The target audience for streaming would be people who want to spend money on games but do not want a console. If this target audience exists, it seems to need to be activated.
Google Stadia is not a “Netflix for gamers.”
Even though Google Stadia has not been able to make big waves so far, there are some online gamers who use and appreciate the service. For example, MeinMMO author Jürgen Horn tested whether a current shooter like Doom Eternal can work through the streaming service.
