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The company behind the cloud gaming platform Shadow has filed for bankruptcy in the U.S. and receivership in France, according to 9to5Google. Shadow recently posted an update to its blog confirming that it was undergoing a “reorganization” to get rid of the debt it had amassed building its cloud gaming platform in several countries.
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Shadow, which is owned by a France-based company named Blade, said the covid-19 pandemic caused such an increase in demand it couldn’t keep up, making the cloud service “a victim of its success.” Gizmodo recently spoke with Shadow about the future of cloud gaming and 5G, and the company described how it was struggling to keep up with demand. Shadow cited its long subscriber waiting list and difficulty getting access to the hardware components it needed, like graphics cards, to build more servers to increase capacity. Still, the company believes it can turn things around with the right investor.
The closure of Stadia Games and Entertainment, Google s internal development team dedicated to creating exclusive content for the streaming service, was both a surprise and a disappointment.
The studio, led by Assassin s Creed and Watch Dogs producer Jade Raymond, was announced alongside the service itself, with the promise it would work on developing games that are only possible when delivered via the cloud.
But the closure itself calls into question the promise of game streaming in general. Given how the technology has transformed music, film and TV, it s still possible perhaps likely that streaming will become a significant pillar of gaming. But if one of the world s biggest tech companies is abandoning its own development plans after less than two years, who else can make this happen?
Cloud Gaming Platform Shadow Has Filed for Bankruptcy, a Victim of Its Success
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