It's becoming apparent that Amazon's $970 million purchase of Twitch in 2014 was more than just buying a popular game-streaming site.
Twitch is reaching an estimated global audience of 385 million in 2017, and that figure is growing. By 2020, nearly 500 million people will be involved in eSports as either participants or spectators. Twitch has more than 100 million users, almost 10 million of them daily active users. The game-streaming site also broadcasts live eSports tournaments.
Gaming is becoming the largest entertainment form on Earth, estimated at over $100 billion and is expected to grow to $132 billion by 2021.
Amazon Game Studios believes the evolution that began with arcade communities a quarter at a time, to now be the live streams and eSports of today. Continuing to a future where everyone is a gamer, and every gamer can create, compete, collaborate and connect with others at massive scale.
Amazon has created its own game engine, called Amazon Lumberyard. Lumberyard allows professional game designers to make games with built-in integration for live game broadcasts on Twitch. As well, integration for cloud hosting with Amazon Web Services (AWS). Amazon Game Studios has also been developing games using Lumberyard as a way to showcase the powerful tool set Amazon offers game developers, who are increasingly designing games for mass audiences in eSports.
Lumberyard combined with AWS is attractive to game designers because it provides a new game, the ability to capture a big audience right out of the gate. Saving developers time and money so they can invest more resources in making great content, as opposed to spending valuable time on infrastructure.
Twitch, Lumberyard, AWS, and Amazon Game Studios are a strong start for Amazon as it builds a gaming ecosystem it calls "a sandbox for innovation."
With a solid video game ecosystem coming together, Amazon has a opportunity to be the destination of choice for game developers around the world.
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