As per secret sources
that are acquainted with the matter, Verizon Communications Inc.(NYSE:VZ), AT&T
Inc.(NYSE:T) and Time Warner Cable Inc(NYSE:TWC) are getting ready for a push
to provide games directly to televisions. A shift in strategy seems to pose
threat to traditional consoles such as Wii, Xbox and PlayStation.
Trials of cloud gaming
services may start later this year. Hence, carriers can test and modify the
technology before going to wider developments that may start in 2013. Other
carriers are targeting for 2014.
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If successful,
internet-based games are likely to accelerate a shift away from gamming
consoles that have been the main money maker of the industry since the past
three decades. Microsoft, Sony and Nintendo have helped in building a market
that is worth $24.1 billion in the US in 2011, as reported by NPD Group. Customers
are already getting rid of consoles and turning to games played on tablets and
smartphones, resulting in 39% fall in video game hardware sales the previous
month.
A video-games analyst
at Lazard Capital Markets, Atul Bagga said that everyone owns a TV and as cable
and phone firms are exploring new ways to monetize their users, gaming can be gripping.
By adding popular games
to their TVs, phone packages and internet, carriers can provide another service
to their nearly 50 million subscribers.
Apart from Verizon,
Time Warner and AT&T, Cox Communications and ComCast are also considering
to offer video-gaming services. They all are looking to go beyond social games
offered by Zynga and casual games like Solitaire and Tetris.
For technology, the
carriers are taking help of Agawi, CiiNow and Playcast Media Systems that
provide software to ensure quick delivery of real-time gaming. Executives of
those companies revealed that they are engaged in discussions with US carriers.
However, they have not disclosed the names of the carrier companies.
Shares of TWC are up
0.20%, AT&T rose 0.13% and VZ added 0.24%
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