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If you consider what Stadia and cloud gaming represent, it's the ability to stream GPU intensive applications. The technology enabling this requires significant R&D. Google was invested in this underlying technology because gaming is just one application of streaming GPU intensive applications. In the current world of AI and GPU intensive applications like ChatGPT and Gemini, Google has always been interested in solving this technological challenge. Gaming allows for significant R&D commitment to this problem, while also providing a commercial aspect. Strategically, this was a key reason why launching Stadia made sense.
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That's an excellent question. I wasn't directly involved with latency or the streaming stack, so I may not be the best person to answer that. However, you're absolutely right. There are other factors. What we learned, which may seem obvious in hindsight, is that what truly matters to gamers are the games themselves. Yes, performance is important, but the game selection is paramount. At launch, we had 22 games, all of which were relatively old. For instance, if you hadn't played Red Dead Redemption in 2019, you were unlikely to start playing it on Stadia.
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Therefore, I believe one of the main reasons for Stadia's failure was the lack of content. There were several decisions made by Stadia that, while made for good reasons, may not have been the right trade-offs.
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