Square Enix invests in cloud games firm Blacknut

pcgamesinsider.biz:

Japanese games giant Square Enix has backed cloud games company Blacknut.

The actual amount of this strategic investment has not been disclosed. Blacknut runs a cloud streaming service that allows users to play games on internet-connected screens, such as PCs, mobile, smart TVs and so on.

"We are very proud to welcome Square Enix, a company that’s genre-defining franchises continue to win over generations of gamers," Blacknut CEO Olivier Avaro said.

"Its decision to invest in Blacknut is a real endorsement of our vision, technology and market approach. Square Enix understands the potential of cloud gaming, as players continue to transition away from physical formats, finding new ways to deliver disruptive gaming experiences from the cloud."

Square Enix business development director Hideaki Uehara added: "Blacknut is a company at the forefront of cloud gaming, with a unique combination of technical expertise and a vision for the future of gaming... We are excited by the potential of cloud gaming and this partnership will allow us to stay on top of new developments in the space, as well as expedite our future growth."

This isn't Square Enix's first foray into the world of cloud games. Back in 2014, the company founded Shinra Technologies to explore this new field, before closing the venture two years later after the "extraordinary loss" of $18.5 million. In 2019, CEO Yosuke Matsuda admitted that the company was a bit too early to enter this space.