Activision Believes Cloud Gaming Will Lose Out To Local Processing
Activision has put forward an interesting theory about cloud gaming, on which they clearly disagree with with Microsoft.
On pages eight to nine of the CMA document titled ACTIVISION BLIZZARD’S RESPONSE TO THE PROVISIONAL FINDINGS, dated March 2, 2023, Activision elaborated on why they believe, in their own words, “Cloud gaming will be taken over by the power of local processing.” In their own words:
Activision Blizzard believes that cloud gaming’s relevance, [REDACTED]. The computing power of consumer electronics hardware – in particular mobile phones – is developing so rapidly that it will [REDACTED].
All forms of local processing (e.g. smart TVs, laptops, tablets and phones) have increasingly powerful processing capabilities, making streaming inefficient, unnecessary and undesirable.
Smart TVs today are promoted explicitly to gamers and services such as Utomik promote subscription download of a game to a PC or other device. Today’s iPhones are up to 20x more powerful than ten years ago.
Consumers are, today, very comfortable playing games on their mobile devices: 94% of all gamers globally do so. New game systems are everywhere.”
Activision elaborates further on page 10. In particular, they have strong hopes on the increased power of smartphones.
“Native mobile gaming (i.e. playing a game via an app on a mobile phone) already [REDACTED] in terms of quality of consumer experience, and Activision Blizzard, from its position as an independent company, [REDACTED]. All of the evidence before the CMA supports this.
If you look at the most powerful smartphones on the market today, such as the Red Magic line or the Samsung S23 Ultra, there is no doubt that these games have grown more than capable of running games with
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