An oft-cited reason for Amazon’s struggles is that the typical mindset of big tech companies — taking an analytical approach that involves throwing money at something, scalping and hoping for results — doesn’t work in a fickle, artistic industry like gaming. where users are quick to criticize and slow to embrace new entrants.
Outside of Amazon, which doesn’t break down its gaming sales in its financial disclosures, the gaming industry has flourished, especially during the pandemic. Gaming analytics firm Newzoo has estimated that people will spend $175.8 billion on games this year.
Of course, Amazon has found success after a slow start in producing television shows and movies. Gaming analysts suggested that Amazon may be figuring out the gaming business right now — which adds a dimension of technical prowess — like how it took several years to land a winning strategy in the streaming world.
The tech giant has struggled to produce popular games, but a much-delayed title released this week could be the first step in a turnaround.
What controls Amazon, first and foremost, is the spreadsheet logic,” said Jost van Druenen, a New York University professor who studies the business of video games. “I don’t know whether the creative process of making games really fits into the corporate culture at Amazon.”