YouTube could host mobile and desktop video games

Per The Wall Street Journal, YouTube is testing a product for playing online video games. YouTube's plan to stretch beyond hosting video content and into sharing video games was the subject of an email sent to Google employees. The product already has a name, Playables, which will allow users to access games on mobile devices or desktop computers. The email invited Google employees to test the new gaming platform and the Journal did get a chance to view the email.

One of the games mentioned by The Wall Street Journal is called Stack Bounce which is described as an arcade game that has players throwing a bouncing ball to smash layers of bricks. Users will be able to play the games instantly using the YouTube website, or via the YouTube mobile app for iOS and Android. Gamers already visit YouTube to watch live streams of video gaming competitions. YouTube competes with Amazon's Twitch for viewers interested in watching others compete.

By hosting games, YouTube would be getting into another aspect of the online gaming industry as the platform seeks to put a charge back into its lagging advertising revenue. Although the online gaming sector also has been struggling lately, a company spokesman said, "Gaming has long been a focus at YouTube. We’re always experimenting with new features, but have nothing to announce right now."

The Google Play Store does include mobile games available for Android users and developers who earn over $1 million a year must give Google up to a 30% cut of in-app transactions. It isn't known how Google expects to profit from the new YouTube product. But even game developers are having a hard time making money in the post-pandemic world. And once-popular titles, such as Angry Birds, no longer generate the revenue stream that they once did.

Last year Google announced that it was shutting down Stadia, a service that allowed users to stream games directly from the cloud to multiple devices. But the number of subscribers never took off and Stadia chief Phil Harrison saw the opportunity for YouTube to use Stadia's technology to help the video streamer create a new revenue source.

Some of the games being tested for YouTube are simple games that were popular a while back on services such as WeChat and Facebook. In other words, the games that YouTube might offer might not be the latest and greatest titles as Google leaves those for the Play Store and its 30% cut of in-app purchases. But these games might have a track record of being popular at one time making them interesting enough for online game players to still have an interest in playing them.