Apple spending ‘hundreds of millions’ to woo game developers to Arcade
The Age: Apple is spending “hundreds of millions” of dollars to secure games for its upcoming Apple Arcade subscription service, according to a Financial Times report, with analysts forecasting the program could generate more money for the company than either its news or TV subscriptions.
Citing people familiar with the deals, FT indicates the iPhone maker is spending several million dollars each on most of the more than 100 video games that have been selected to launch with Apple Arcade, with the total budget likely to be more than $US500 million ($697 million).
Apple’s biggest move yet into the gaming space comes at a time when watchers of the industry are predicting a paradigm shift away from plastic discs and home consoles, towards subscription services and games streamed over the internet to any device. Google and Microsoft are the first big movers in this space, and Apple clearly wants in as well, but it first needs to establish itself in the market.
Apple Arcade will be part of the App Store, and will focus on games that are exclusive to the service, meaning gamers used to playing on Android, PC or game consoles from Nintendo, Microsoft and Sony will not be able to access them. Arcade games will also not be available to non-subscribers, even if they use Apple devices.
Apple is offering game developers an extra incentive