Netflix Prioritizes Cloud-Based TV Games for 2026 Launch

Netflix co-CEO Greg Peters has explained the streamer's video game division will focus on bringing cloud-based titles to television screens in 2026. Discussing the state of play within Netflix Games during a full-year earnings interview, Peters said the business has delivered "really positive results" with more conventional titles such as Red Dead Redemption—which purportedly mirrored the standout performance of Grand Theft Auto—but reiterated a desire to double down on casual party titles that can be streamed on television screens and enjoyed by whole families. "A big advancement and priority for us is our cloud-based TV games. It's an exciting launch for us. We're still in the early stages of this rollout. Roughly a third of our members have access to TV-based games as a process of upgrading the TV technology and TV clients to be able to handle that," said Peters. "And recently, with our party games on TV—Boggle, Pictionary, LEGO Party!—we've seen really strong uptake. So, it's off a small base—I think about 10 percent reach into those eligible members—but our TV-based games have enjoyed quite a significant engagement uptick after that Party Pack launch." Peters said Netflix Games will be expanding its "cloud-first strategy" over the next year with the addition of new titles such as the recently-announced soccer simulator from Delphi Interactive and FIFA. That title will debut exclusively on Netflix Games in time for the FIFA World Cup 2026, and according to Peters will be "more accessible" than its competitors. "We're going to ramp our investment based on demonstrated value to members and returns to the business" Netflix Games has struggled to carve out a clear identity since launching in 2021. The division roared into life with a huge investment and M&A spree that saw Netflix establish an internal triple-A studio and acquire notable developers such as Boss Fight Entertainment, Night School Studio, and Spry Fox. Yet, around five later, the company has either completely shut down, divested from, or downsized the majority of those teams in an effort to refocus and adopt a "less is more strategy" to expanding its video game business (although it could soon become the owner of Warner Bros. Games if its pursuit of Warner Bros. Discovery proves successful). Following that reset, Netflix has focused on expanding its slate of games with social party titles, recognizable properties from third-party studios (such as Red Dead Redemption), and more casual titles based on its own IP. The hope is that Netflix subscribers—all of whom have access to Netflix Games—will either choose to play those titles on mobile devices, web browser, or on compatible televisions (while using their smartphone as controller, in some instances). Given Netflix boasted over 325 million paid members during the fourth-quarter of the last fiscal year, it's not hard to see why the company is keen to make video games as accessible as possible. According to Peters, however, there is still some way to go on that journey. "We are just scratching the surface today in terms of what we can do in this space, but we are already seeing multiple instances of how this approach not only extends the audience's engagement with the service and with the story, but it also creates synergies that reinforces both mediums. So the interactive and non-interactive side. That drives more engagement and more retention," he added. "Bottom line: we're very bullish on the opportunity side. We're seeing progress, but we still have a lot of work to go do. And I should say, like all of our developing initiatives, we're going to ramp our investment based on demonstrated value to members and returns to the business."