With Google Stadia and Project xCloud, cloud gaming is slowly becoming a reality. Technology may come to a point where playing games through a streaming service will be just like playing it on local hardware, but this won't impact the value of traditional hardware and software, according to Nintendo.
Speaking during Nintendo's latest financial results, president Shuntaro Furukawa commented on cloud gaming, noting how the technology is advancing steadily and how in the future it will become a viable method to deliver games to consumers. The Japanese company will keep with changes in the industry, but it will not put its core values aside, as the value of traditional hardware and software will even increase after cloud gaming and subscription services will become more widespread.
I don’t think all games will move to the cloud right now, but the technology is steadily advancing. In the future, I expect that technologies such as the cloud and streaming will evolve further as a way to deliver games to consumers. We must keep up with such changes in the environment. On the other hand, I believe that our core value, the unique entertainment experiences that can only be achieved through the development of integrated hardware and software, will further increase in value. Delivering unique entertainment that only Nintendo can create will continue to be our top priority.
Nintendo's stance on the matter is hardly surprising, considering how well the Nintendo Switch is selling. At the same time, the Japanese company has always been at the forefront of gaming innovation, so it will be very interesting to see how they will adapt to cloud gaming becoming more popular. The company already started experimenting with cloud gaming with Resident Evil 7 Cloud Version, which is only available in Japan for Switch, so Nintendo is definitely getting ready for the new era of game streaming.