Netflix Launches Game Controller App As It Eyes Gaming Expansion

Netflix has released a game controller app for iPhone as part of its broader plans to expand into the gaming sector whilst retaining its existing subscription and ad-based business model.

Listed on the iOS App Store, the “Netflix Game Controller” app lets gamers use their phone as a controller after pairing it with their TV to play games through Netflix’s service.

However, there is no news on which of the games Netflix has, and those in development, will make it to the TV. The company currently operates five different gaming studios around the world, helmed by former Activision Blizzard and Zynga execs, and tasked with creating all manner of games.

Netflix declined to share additional plans about its plans or timelines for its gaming service when reached by TechCrunch.

However, the company’s execs had previously confirmed that there would be no extra gaming subscription tier and that it would be available in people’s usual subscription packages. This might create a huge opportunity for brands to activate and advertise within Netflix’s gaming environment.

“It’s a value add. We’re not asking you to subscribe as a console replacement,” said Mike Verdu, Netflix’s VP of games in October last year. “It’s a completely different business model. The hope is over time that it just becomes this very natural way to play games wherever you are.”

He also added that Stadia, Google’s attempt at cloud gaming, was a technical success but had limitations with its business model. Google closed the service in January of this year citing a lack of users.

Currently, the games available from Netflix’s studios tend to be simple mobile games. However, a number of the games feature the likes of the Teenage Mutant Ninja Turtles, Lara Croft and Sonic the Hedgehog as main characters, showing a level of brand involvement. The reality show Too Hot to Handle even has two games — Too Hot to Handle: Love Is a Game and Too Hot To Handle 2. It also said it has around 40 games slated for launch this year, with 16 being developed by its in-house studios and a further 70 more in development with its partners.

“We do believe that cloud gaming will enable us to provide that easy access to games on any screen. Our overall vision is that our members can play games on any Netflix device they have,” said Netflix’s VP of external games Leanne Loombe in May.

Gaming is becoming an increasingly important and visible part of media mixes for agencies, advertisers and brands. The recent IAB Gaming Summit showed that brands were not only starting to notice gaming as a channel but also drawing success from using the medium.

The industry body’s Game Advertising State of the Nation report found that 57 per cent of marketers are using in-game ads to drive purchases and actions, up from 21 per cent the previous year. For sales and conversions, the number has also increased from 15 per cent to 38 per cent.

“It continues to be a surprise to people, the bulk of people think that the average Australian gamer is a little boy, sitting in his bedroom shooting up god knows what,” said Raelene Knowles, chief operating officer at Interactive Games & Entertainment Association (IGEA) at the Summit.

The IGEA has also released new research showing that four-fifths of Australians are now “gamers” and that they are very engaged with the medium.

“With 94 per cent of Australian households having at least one device to play video games, there is no denying the significance of video games in the lives of everyday Aussies. 91 per cent of parents are using video games to connect with their children, supporting cognitive growth and providing important family bonding time,” said Dr Jeffrey Brand, professor at Bond University and author of the IGEA’s report.

“Additionally, we saw more women playing games than ever before with 48 per cent of Australian gamers being female, up two per cent on the previous report, with women over 65 more likely to play video games than elderly men. Aussie gamers over 65 play to be challenged and improve their mental health, with a focus on mental stimulation and fighting dementia. Video games offer something for everyone – anyone can be a gamer, not just children and students, but parents, grandparents, your coworkers, and your boss,” Dr Brand continued.

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