The New Gamer Report, which surveyed adult gamers who play at least once per week, found that many are ready for a “post-console” future that pairs cloud gaming with 5G connectivity – and they are willing to pay more for it.
When it comes to the metaverse, while the majority of consumers are interested, concerns around poor connectivity, hardware costs and it being too early in its infancy could hinder adoption.
Findings from the research include:
- The console wars are over: The majority gamers would consider going all-in on cloud and skip purchasing new hardware.
- The gaming community is more diverse than you might think, with an even split in gender and a very surprising amount of gamers being baby boomers.
- The metaverse is promising, but hurdles around poor internet, expensive hardware and relevant use cases must be addressed before gamers hop on.
- Gamers would pay more for their cloud gaming subscription if it was bundled with a dedicated 5G connection to ensure quality control.
- Quality of games from cloud gaming providers top the list, coming ahead of both price and quantity of games.
These insights highlight several opportunities for communications service providers, content creators and hardware providers.
What these findings say about making cloud gaming and metaverse a mainstream reality
"These findings uncover several essential factors, first and foremost the need for networks to be future-ready for in-demand, intensive and seamless experiences – such as evolutions of the metaverse and the supercharging of low-latency cloud gaming. As these experiences become more ingrained in our culture and we begin to explore the potential of a Web 3.0 world, entertainment partnerships and new, flexible monetization approaches that enable a la carte experiences - coupled with connectivity - will become increasingly critical."
Gamers believe in the metaverse, but we need to prepare for more
"We’re entering an era of significant change. Just like the iPhone turned the internet into mobile, the metaverse will disrupt the internet as we know it and gamers will be at the front lines of this evolution. But while metaverse experiences for gaming are certainly a meaningful step in mainstream adoption, it’s only one aspect. It has the potential to be as important as we see email or social media today. But first, we’ll need to tackle hardware costs, network readiness and more."
Cloud gaming is a landmark moment for standalone 5G
"The rise of cloud gaming is coinciding with the arrival of the standalone 5G era, creating a new world of exciting possibilities for gamers and opportunities for communications service providers. As cloud gaming becomes mainstream we’ll see service providers play an important role, offering connectivity and quality-of-service through partnerships with gaming ecosystem players and enhanced capabilities provided by 5G technology. There is a clear appetite within the gaming community to invest in the experience and indeed to move beyond current offerings."
Content is king, and exclusive IP will determine the winners in cloud gaming
"As the gaming industry evolves to more flexible models, we’ve seen significant acquisitions such as Activision Blizzard by Microsoft, another example of entertainment technology companies upping the ante to attract new and existing subscribers. While the industry saw an increase in online gaming during the pandemic, now will be about retaining these new gamers through additional acquisitions, the expansion of existing IP into not just more games but film and TV, and a dedication to compelling exclusive original content gamers can’t find anywhere else."
Subscription models will open the door to more gamers by removing a critical barrier
"I believe cloud-based gaming will eliminate a key barrier by removing the need to purchase an expensive and purpose-built console (or consoles) to access certain content. This will open up users of all ages to a new, vast catalog of games. Amdocs’ data shows that the gaming community is more diverse than widely believed. By moving to this new model, companies can create more innovative experiences that satisfy various preferences."
Get the research
Related insights and products
Amdocs unveils revolutionary, flexible monetization offering
Amdocs Freestyle Billing enables operators to support end users’ preferred payment and business model per experience; introduces intelligent billing and monetization options.
The 5G Value Plane
Empower cutting-edge 5G monetization by exposing the network to both business and IT.
Amdocs Intelligent Networking Suite
Manage design, orchestration, inventory and closed-loop operations for the 5G, hybrid & cloud networks era.