Why the FAANG companies are all involved in gaming
The gaming industry is huge, so it is not surprising that the biggest tech giants or FAANG companies – Facebook (now Meta), Apple, Amazon, Netflix, and Google – want a part of that action. Although they are best known for other digital or internet services, these big companies have all found ways to branch into gaming, bringing their own expertise to this huge and highly popular sector.
Adding value for their customers
Competition between the big tech companies is fierce and finding new ways to draw in customers is an ongoing challenge. For subscription companies, offering gaming at no additional cost to their customers makes their services more cost-effective and, therefore, more attractive to potential customers while helping to retain their existing ones. With customers already knowing and trusting these big names, using them for gaming seems like a reliable option.
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Movies and TV shows have long inspired games, and sometimes the opposite is also true, as the Tomb Raider films proved. With many of the FAANG companies having their own exclusive content in terms of movies and series, branching out into gaming is a logical step that allows them to continue to hold the rights to this content across all genres of digital media. In the future, it could become increasingly common for games to inspire the latest series.
While the FAANG companies are becoming involved in gaming, they are not yet the names most associated with the gaming industry, like Nintendo, Sony, and Microsoft. Console gaming remains popular, and with the best-known consoles being made by Nintendo and Microsoft, they are likely to remain the companies most associated with gaming.
However, the FAANG companies have other areas of expertise that can allow them to use their platforms to tap into new gaming markets in the form of streaming services. Amazon’s Twitch, Facebook Gaming, and Google’s YouTube Gaming have all grown at a phenomenal rate over the last few years, providing platforms for gamers to stream their games for other enthusiasts to watch.
In these services, the FAANG companies do not need to create their own games as the gamers play everything from wildly popular games such as Minecraft or Fortnite to more niche interests, while others tune in to see how to improve their own play, enjoy the competition or simply enjoy the entertainment.
Right now, it seems unlikely that the FAANG companies will threaten the position of the big gaming companies with their own consoles and vast back catalogs. However, as the gaming industry continues to expand, it is likely that the FAANG companies will continue to develop their own gaming services and find ways to use them to attract customers to their platforms.