Netflix hunts for a senior exec as it eyes the money minting gaming sector

By Sayujya S, Desk Reporter
  • Follow author on
Netflix Image
Representational Image

Leading American content streaming and production platform Netflix is on the lookout for a senior executive to lead its push into the highly profitable video game sector, according to reports.

The California-based company has already held talks with several industry veterans, the report said, quoting sources familiar with the matter.

The subscription-based video game service would be similar to Apple Arcade, which gives subscribers unlimited access to its selection of games. As with movies and TV shows, Netflix would not show advertising alongside the games.

However, Netflix’s plans still appear to be in the very early stage with the platform not yet having decided whether it will develop its own content or host games created by third parties.

With the global gaming market now exceeding $300 billion, according to an April study by consulting firm Accenture, Netflix’s move would open a new and highly lucrative stream of revenue for the tech giant.

“We’ve continually expanded our offering, from series to documentaries, film, local language originals and reality TV. Members also enjoy engaging more directly with stories they love through interactive shows like ‘Bandersnatch’ and ‘You v. Wild,’ or games based on ‘Stranger Things,’ ‘La Casa de Papel’ and ‘To All the Boys,” a Netflix spokesperson said.

Netflix chief executive Reed Hastings has repeatedly emphasized that the company’s main competitors are not just other big-name streamers like HBO, Hulu or Disney+ but include a variety of other online and mobile entertainment platforms.

“We compete so broadly,” Mr. Hastings told analysts last October as he presented the company’s quarterly earnings. “We compete for time against TikTok and YouTube as well as HBO as well as Fortnite,” he said.

As the COVID-19 epidemic forced people to stay indoors, gaming and online content streaming has been some of the businesses that benefited the most. With experts predicting pandemic habits are likely to be hard to shake-off, companies are stepping up their plans for steep investments in such sectors.

Related: Netflix attributes subscriber drop in Q1 to ‘fewer original content’