Apple spending $500 mn over ‘Arcade’ gaming service

Alfred Osborne
April 17, 2019

In March, the company announced its foray into the video game subscription service with Apple Arcade, promising around 100 exclusive titles to its devices. Add to that, there will be other perks for developers if they launch games exclusive to Apple's ecosystem. Sources also say that the advance money that Apple is paying developers "more than cover the cost of developing a typical indie game". According to certain sources that spoke to the FT, several of whom are involved in the Arcade project, the company is spending several million dollars on for each of the games that will populate the platform. During the announcement of its new service, Apple also promised it would release over 100 exclusive titles on Apple Arcade.

Despite the significant investment Apple will make in its Arcade service, the service has so far received little attention compared to the company's bid to take on Netflix with its new streaming service, tipped to have a $1bn budget and stars such as Oprah Winfrey and Steven Spielberg onboard.

When Will Apple Arcade Launch? This uses a subscription model which grants users access to hundreds of gaming titles. An estimate by HSBC foresees Apple's gaming service becoming larger than the TV+ service by 2022, and becoming a $4.5 billion business by 2024.

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Apple Arcade without any confirmation date for unveiling is still considered as victor despite the fact that its full launch lineup will reveal is true face when undergo the first true test. While developers are being asked to release their games initially on Apple Arcade only, "after a few months of exclusivity" they will be free to release their games on non-competing platforms like PCs and consoles, although it appears that their agreements will still preclude them from releasing on the Google Play Store or within other subscription gaming bundles like Microsoft's Xbox game pass. Users will be able to play these games in the offline mode as well.

If users see their favorite YouTuber streaming a game, they can click the "play now" button' and, within seconds, it will boot up right on their screen.

While we wait to hear more details about Apple Arcade, read about how we're not sure if it can save mobile gaming and check out everything we know about Google Stadia.

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