Into the Breach

Since last year, Netflix has been by giving its users access to a selection of free video games as they continue to try and diversify the product that they continue to offer. However, it has been revealed to have been a rather sluggish start.

The games to have been offered have only had a total of 23.3 million downloads, as well as an average of 1.7 million daily users, according to research undertaken by Apptopia for CNBC. These findings make for grim reading for the streaming platform, as they essentially account for less than 1% of Netflix's 221 million subscribers use the games, despite being made free to play with the memberships that they acquire. This is perhaps embarrassing for the company as there is a lot more traffic from gamers at, although that might suggest that there is greater demand for casino games compared to more conventional arcade games.

As part of its membership service, Netflix started to provide games back in November. Five games were initially available: Stranger Things: The Game, Stranger Things 3: The Game, Card Blast, Teeter Up, and Shooting Hoops. Since then, more than 25 games have been added for download through the Netflix app on both Android and iOS devices. Some of these games, such as Into the Breach, are amazing. Additionally, none of these titles includes any commercials or in-game purchases. Despite having a good selection of games that keeps expanding, Netflix is having trouble grabbing people's attention.

During the business's fourth-quarter earnings calls last year, Netflix COO Greg Peters stated to investors that the company did not anticipate its gaming section to be profitable immediately. He further said that "We're going to attempt a lot of things and be experimental,"

With barely 1% of customers playing these games, Netflix claims it will double its current game catalogue by the end of the year. With this, everyone is undoubtedly wondering how long Netflix will be willing to wait to determine if its bet was successful. However, it's hard to predict when the streaming service may realize its entry into the gaming market is not sustainable.

Keep in mind that Netflix is currently having trouble retaining customers. The service has lost 1.2 million subscribers since the year's start. Due to declining numbers, Netflix has reduced its budget, and discontinued series and personnel. It costs money to create and maintain a game catalogue that rivals Apple Arcade or Game Pass.

For instance, Netflix spent over $70 million to acquire the studio responsible for a puzzle game based on Stranger Things. Additionally, it acquired exclusive mobile rights to well-liked independent games, including Into The Breach and Spiritfarer. Overall, the company hasn't said how much it spends on building its video game section, but the work is expensive.

According to Forrester analyst Mike Proulx, Netflix has been investing in gaming rather slowly and it appears to be more of a test, rather than something that the company may go fully into.

Final Words

Finally, the streaming website is investing in its video gaming section, and it is unclear how long the corporation will continue to fund this gaming experiment when it needs to reduce expenses to remain competitive with other steamers.