Amazon.com (AMZN) may be preparing to throw its hat into the ring and offer a streaming video game service, according to a new report from The Information.
The e-commerce and cloud giant is in talks with video game publishers about offering their titles on the service, according to the report. A potential service wouldn't be launched until next year at the earliest, sources told The Information.
Amazon already has Twitch, a popular streaming service that lets users watch and comment on other people playing video games. And it already offers other streaming media services such as Prime Video and Prime Music. Adding a video game offering could generate an additional revenue stream, or if bundled with a Prime membership, make the all-important membership even more attractive.
Other tech giants are planning similar offerings. Sony (SNE) offers live streaming of games via its PlayStation Now offering, and in October, Microsoft (MSFT) unveiled its Project XCloud platform to test the streaming of video games. Alphabet's (GOOGL) Google has also been experimenting with video game streaming, having offered a version of Ubisoft's popular Assassin's Creed game to select users running Chrome on a laptop or desktop last fall.
The potential offerings could herald a shift away from the business model of companies selling expensive consoles and titles to consumers and instead offering subscriptions.
Amazon shares were down 0.1% to $1,654.50 on Friday morning.