As Netflix struggles to keep consumers subscribed to its streaming service, its mobile games venture is performing no where as anticipated, reported CNBC.
Last November, Netflix launched a new gaming service globally available across both iOS and Android with games that included two games based on the adaption of “Stranger Things” and a few casual games. In January 2022, Netflix announced two more casual games across iOS and Android devices. Netflix currently offers 25 games and plans to make it to 50 by the year end.
CNBC reported that according to app analytics company Apptopia, Netflix games have been downloaded 23.3 million times in total, and on average, there are 1.7 million daily users. This means that fewer than 1% of the streaming giant’s subscriber base — around 221 million subscribers — are interested in Netflix’s games.
In the second quarter, Netflix lost nearly a million subscribers, after losing 200,000 subscribers during the first quarter — its first subscriber declines in more than a decade. Netflix shares now trade at $240 range from a peak of $690 in November 2021.
In comparison, leading mobile games like Subway Surfers, Roblox and Among Us each have more than 100 million downloads, per Apptopia.
Speaking to CNBC, Forrester analyst Mike Proulx noted that Netflix has been investing in gaming slowly, and that it still appears to be what he would consider “more of a test and experiment at this stage.” He noted that most people don’t associate Netflix with games.
In November 2021, Netflix has hired Scopely’s Amir Rahimi as vice president of game studios. Rahimi, who was previously president of games at mobile game publisher Scopely, reports to Mike Verdu, vice president of games at Netflix. Verdu, a former Facebook gaming and EA executive was hired in July 2021.