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On your phone and on the move: Why the future of gaming is all about streaming

A video game user plays XBOX.
A video game user plays XBOX.
Photo by Ben Andreas Harding via Flickr Creative Commons

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Last month, Microsoft announced its plans to launch Project xCloud, a service that will let users stream Xbox One games to computers, phones, tablets and other devices.

Currently, most games are limited to the device you are using. In a post announcing the service, Microsoft said “entertainment should be available on demand and accessible from any screen.” Project xCloud will let gamers connect an Xbox One controller to mobile devices via Bluetooth. This is not the first game-streaming venture of its kind. But Microsoft says it has figured out aspects that would push the existing concept forward.

The tech company says Project xCloud has resolved encoding and latency issues, which currently limits which games can be enjoyed. The mobile gaming market is a $50 billion industry. It accounts for almost half of all gaming revenues worldwide. Globally, the gaming market is expected to grow to a $115 billion industry this year alone. We look at the growth of the mobile gaming industry that has given way to whole new class of gamers.

We have reached out to Microsoft to discuss Project xCloud but they declined our request for an interview


Samuel Axon, senior reviews editor with Ars Technica, who has been reporting on Microsoft’s game-streaming service; he tweets @SamuelAxon

Tim O’Shea, senior vice president and equity analyst covering the video game sector at Jefferies, an independent global investment banking firm based in New York