Cloud Technology and Gaming – Is This The Future of the Industry?

Since its appearance in the 1960s and its progression with the rise of microcomputing, video games have regularly benefited from advances in the digital world. While cloud game streaming technology is reshuffling the cards of the gaming app industry and 5G promises to accelerate its democratization, let’s take a closer look at its contributions in terms of convergence, uses, and economic models.

How Does Cloud Technology in Gaming Work?

Cloud is foraying in the gaming industry, allowing the user to stream high-end games on portable devices, such as laptops, tablets, and mobiles, with fast network connectivity. These factors are expected to have a positive impact on the growth of the market. Moreover, making the most of cloud technology in the gaming industry will likely fuel the demand and engagement of multiple players for different games, thereby driving the market’s growth over the forecasted timeline.

Cloud gaming, considered a revolution in the gaming industry, is expected to break down the existing barriers of cost and platform. It is also likely to linger well with 5G. Cloud gaming platforms are expected to have multiple benefits cloud gaming for gamers, who will have access to various high-quality titles without the need for expensive hardware. Developers, publishers, and platforms will see more profits with greater reach and more ways to monetize their cloud solution services. However, companies owning most value chain elements, from intellectual property to infrastructure, will benefit the most and other game genres.


The emergence of cloud gaming has also dwindled the constant need for hardware upgrades, and gamers worldwide will be able to play cloud games on their existing devices. Along with future devices, which may have low specs but can host games that could be played on the cloud. The most significant opportunity for vendors in this specific segment is to access smartphone gamers, who make up a substantial portion of the gaming audience and prefer to play PC and console games on their mobile devices easily.

Advantages of Cloud Gaming

No device limitation: Most non-mobile video games are tied to specific consoles and PCs (often Windows). They cannot work on other devices, so they can only be used by the part of the population that has access to those devices. Cloud gaming services allow games to be more platform-independent. PCs and tablets running Linux, iOS, Android, and Chrome O.S. operating systems can play games that previously could only run on Windows devices.

Game Security: Cloud gaming systems store user data on secure servers. Data is also transferred over secure connections, eliminating the risk of hacking. In addition, game data is stored in the cloud, eliminating the hassle of backing up data locally. By prioritizing user and game data security, players are less concerned. They can enjoy their favorite games knowing that no one can access their private data.

Compatibility: The highly scalable platform allows high-level video games to be played on low-end devices. In addition, the limitation caused by processing power, graphics capacity, and memory storage has been removed through the cloud platform, giving users a fantastic gaming experience.

Cloud Gaming Market Overview

The Cloud Gaming Market was valued as per Verizon at USD 612.31 Million in 2020 and is projected to reach USD 5370.37 Million by 2026, registering a CAGR of 45.2% during 2021- 2026. These platforms increasingly attract hundreds and thousands of new visitors to online traffic. According to the Verizon study, there was a 115% increase in gaming usage in the U.S. alone compared to a general day before COVID-19. Live streaming services and online gaming platforms furthermore pursued to break their concurrent user records in March and April 2020. An increase in gaming traffic was observed during peak hours of 75% last year.

Cloud Gaming Trends

The evolution of cloud gaming tech in the gaming industry allows users to stream high-end games to smartphones with fast network connectivity, thus eliminating the need for regular hardware upgrades or game consoles/PCs/laptops.

The growing demand for mobile games is a direct result of various technological advancements in cloud gaming, such as A.R., V.R., and 5G. This trend is not surprising, given that the mobile cloud gaming industry is mainly based on new technologies. The inception of 5G and the arrival of vast data plans are also expected to be critical factors contributing to the success of cloud gaming globally. In addition, surging services and investments in 5G infrastructure are imminent for this success. As per Ericsson, the aggregate of 5G mobile subscriptions in the Asia-Pacific region is anticipated to reach 1,545 million by 2025.


The Future of Video Gaming

Cloud gaming is the future of video gaming because it offers many advantages for gamers and publishers. It is in tune with the times and its consumption patterns, in addition to being very accessible and reaching a vast number of potential consumers. There are still significant irregularity in internet connection, even in developed countries. Cloud gaming services are very greedy and will need some changes before this service is available and operational everywhere and for everyone.

What started as a data storage platform is now integrated into all areas of the digital world. Games are used for entertainment, but they greatly help our mental and motor development. With the arrival of more sophisticated technologies and tools, analysts believe it will be almost impossible for the gaming industry ever to face a decline. By 2025, it is estimated that the gaming industry will earn $300 billion. Many people will find them associated in some way with this industry, and it will become one of the key players in the global economy. Just look at the number of streamers who have appeared in recent years on platforms like Twitch and who allow them to live from their passion thanks to donations and sponsors: more than a hobby, it’s a real career that offers itself to them.

The global gaming industry will continue to grow in the coming years, and it is difficult to predict its decline any time soon. With the arrival of key companies, the world will see more games and franchises develop. Although this game industry stimulates the global economy, these games must be a source of development, harmony, and benefits for future gamers.

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