Analysts expect demand for immersive experiences, via better sound and graphics, to drive sales of consoles, with both Microsoft and Sony launching next-generation devices this year.
Microsoft said this week the Xbox Series S will go on sale in November priced at $299.99, with the more powerful Xbox Series X priced at $499.99.
Sony, widely seen as the victor of the last generation console battle, already offers cloud gaming via the PlayStation Now service, but this is not available on mobile devices.
Sony has not yet announced pricing for its next-generation PlayStation 5 console.
Gaming is on a tear due to demand from stuck-at-home users during the coronavirus pandemic.
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Microsoft is banking on offering users many ways to play via the cloud service and consoles at different price points to give it an edge.
A constraint on the growth of cloud gaming is latency, or the time delay between pressing a button and getting the reaction on screen, with deployment of 5G telecom services expected to speed up its adoption.
Microsoft's service won't be available on Apple devices.
Epic Games is currently engaged in a legal dispute with Apple over its commission fees, in a fight seen as having implications for revenue models across the industry.
(Writers: Supantha Mukherjee, Sam Nussey | Editor: Mark Potter)
Source: https://in.reuters.com/article/microsoft-gaming-idINKBN2621LO
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