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Square Enix has made a strategic investment in Paris-based cloud gaming platform company Blacknut.
The investment will support ongoing research and development for Blacknut to target the B2B cloud gaming market.
The deal comes shortly after Square Enix sold most of its Western game studios for $300 million.
Blacknut’s portfolio has exceeded 500 games from a host of well-known publishers. According to a study by Newzoo, cloud gaming generated more than $2 billion from 24 million subscribers in 2021.
“We are very proud to welcome Square Enix, a company whose genre-defining franchises continue to appeal to generations of gamers. Their decision to invest in Blacknut is a true endorsement of our vision, technology and approach to gaming. market,” said Olivier Avaro, CEO of Blacknut, in a statement. “Square Enix understands the potential of cloud gaming, as gamers continue to move away from physical formats, finding new ways to deliver disruptive gaming experiences. from the cloud.”
Blacknut said it has forged partnerships with publishers through its mutually beneficial ecosystem, and these will be strengthened by Square Enix’s investment in Blacknut.
“Blacknut is a leading cloud gaming company, with a unique combination of technical expertise and a vision for the future of gaming,” said Hideaki Uehara, director of business development at Square Enix, in a statement. “We are excited about the potential of cloud gaming and this partnership will allow us to stay on top of new developments in the space, as well as accelerate our future growth.”
With most households having multiple connected devices, Blacknut’s catalog of games is available as a one-click gaming experience on all internet-connected screens. The service is available on computers, mobiles, smart TVs and decoders, or directly via Webapp on Chrome and Safari.
The service is available in 45 countries spanning Europe, North America and South Asia, and has recently expanded to Latin America and the Middle East.
Over the past four years, Blacknut has grown exponentially through significant B2B partnerships with ISPs, device manufacturers, OTT services and media companies. These include Telecom Italia, AIS in Thailand, Hutchison Drei in Austria, POST Telecom in Luxembourg, Telecall in Brazil, Celcom in Malaysia and M1 in Singapore.
Avaro launched Blacknut in 2016 and the company is based in Rennes, France.
The Square Enix Group also owns a valuable portfolio of intellectual property, including Final Fantasy, which has sold over 168 million units worldwide; Dragon Quest, which has sold over 84 million units worldwide; Tomb Raider, which has sold over 88 million units worldwide; and the legendary Space Invaders.
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