Rudolph Angler Mike Verdu, former head of Netflix’s games division, has taken on a new role within the company, now leading a generative AI gaming division. In a LinkedIn post on Sunday, Verdu described his focus on a “creator-first vision for AI,” emphasizing the potential of AI to support both large and small game development teams.
“While many view this technology with fear, as a game-maker at heart, I see its potential to create mind-blowing new experiences for players and elevate the industry,” Verdu wrote.
Netflix first launched its gaming division in 2021, but as of September 2023, fewer than 1% of subscribers had engaged with its games, according to analytics from Apptopia. Verdu was replaced in July by Alain Tascan, formerly of Epic Games, and soon after, Netflix shifted from ambitious “Triple-A” game development to focus on more casual games, also laying off several gaming team members.
Despite these changes, Netflix remains committed to gaming as a small yet integral part of its content strategy. Co-CEO Greg Peters noted in Netflix’s Q2 earnings call that gaming engagement has tripled in 2023. Netflix sees games as a way to strengthen subscriber retention, which may explain why the company has yet to introduce ads to monetize its games.
Addressing speculation around Netflix’s gaming future and his own role change, Verdu said his transition was planned, adding, “As Netflix Games scaled, I realized my strengths lie in managing smaller teams.” Over the past three years, Verdu and his team built Netflix Games from scratch, including launching an internal game studio, creating a publishing arm, and expanding game offerings to mobile, TV, and PC via cloud streaming. “We’ve launched over 100 games, significantly increased engagement, and rolled out cloud streaming tests in several countries,” Verdu wrote.
The rise of generative AI in gaming has sparked concern among workers in gaming and entertainment. This past summer, SAG-AFTRA’s video game voice actors and motion-capture performers went on strike over AI-related protections, with ongoing negotiations as of late October.