Google Shuts Down Two In-House Studios

Google Stadia, the gaming streaming service that was supposed to revolutionize the gaming world, hasn't: and while there are still a few Google Stadia exclusives running around, so far, Google's grand experiment hasn't amounted to much, outside being another contender in a potentially game-changing service that has yet to find a clear winner, even with heavy-hitters like Nvida and Amazon in the ring.

In any case, part of Google's initial pitch for the Stadia wasn't just the exclusive games: like Amazon, they decided to put some money and manpower into opening two game studios with the eventual goal of releasing their own first-party titles for the streaming service. However, it seems Google has decided that creating games is a lot less profitable than simply selling them, and has announced that they're shutting down both studios, starting immediately.
 

"Creating best-in-class games from the ground up takes many years and significant investment, and the cost is going up exponentially. Given our focus on building on the proven technology of Stadia as well as deepening our business partnerships, we’ve decided that we will not be investing further in bringing exclusive content from our internal development team SG&E, beyond any near-term planned games."

Google employed about 150 people in those studios, and fortunately, it seems effort is being made to find places for them within Google, if they wish to stay. The studio head, however, Jade Raymond (she was one of the people who helped create Assassin's Creed), will be leaving, as she probably wants to keep making video games.

Ultimately, Google Stadia will keep going, and it seems Google intends to keep supporting it for the time being. But with the loss of these studios, it's certainly signaled that Google's interest in the gaming space has waned significantly. If that's a good or bad thing, we may never know.