"Even 4-Year-Old Phones Work Well" SKT Cloud Gaming Satisfied Im Yo-hwan... Aiming for 1 Million Subscribers

Former pro gamer Lim Yo-hwan (right) and game YouTuber Gsikbaekgwa Kim Seong-hoe are enjoying the '5GX Cloud Game' presented by SK Telecom in collaboration with Microsoft (MS).

[Asia Economy Reporter Seulgina Jo] "Fighting games are about the aesthetics of 1/60th of a second, 1 frame. Responsiveness is the most important factor, is it okay? (Game YouTuber Gsikbaekgwa Kim Seonghoe)" "Does it work well even on phones that are 4 to 5 years old? (Lim Yo-hwan)" "All are important, but so what games can you actually play? (Game YouTuber MC Yoonsunsaeng)"

If the 2000s were the era of PC bangs and the 2010s were the era of mobile, then the 2020s are the era of cloud gaming. SK Telecom officially launched the 'Xbox Cloud Gaming Service' on the 16th, which is the result about a year after announcing its plan to promote cloud gaming business based on Microsoft (MS) and 5G communication. For a monthly fee of 16,700 KRW, users can enjoy over 100 blockbuster Xbox games. This service was simultaneously launched in 22 countries including the United States, Germany, and France, with Korea being the only Asian country.

Cloud gaming’s biggest feature is that it allows playing ultra-high-spec, ultra-high-quality games anytime and anywhere through cloud streaming. With the full-scale cooperation between SK Telecom and MS, the cloud gaming competition among the three major telecom companies seeking 5G killer content in gaming is heating up even more.

Over 100 Games for 16,700 KRW per Month... Subscription Service

SK Telecom and MS announced on the same day that they are transitioning the beta service '5GX Cloud Gaming' to an official commercial service. Users who subscribe to 'Xbox Game Pass Ultimate (16,700 KRW per month)' provided by SK Telecom and Xbox can freely enjoy games not only on consoles but also on PCs and Android OS-based mobile devices. ▲Cloud streaming functionality ▲Over 100 games without individual purchases ▲Controller provision are features that differentiate this service from existing game services.

The game genres offered range from blockbuster Xbox hits to family games. The number of titles provided reaches 101. Jeon Jin-soo, head of SK Telecom’s 5GX Service Business Division, introduced, "You can enjoy games worth about 5 million KRW unlimitedly." The new installment of the Minecraft series, which has sold over 200 million copies worldwide, 'Minecraft Dungeons,' was also added this time. 'Black Desert,' which was introduced as a trial service, has also been converted to an official service. New games directly produced by MS, such as 'Halo Infinite,' will be simultaneously released in the future.

Starting November, SK Telecom will also launch the 'XAA (XBOX All Access)' program, the first in Asia, which allows monthly subscription use of Xbox consoles and cloud gaming passes. Xbox Series S is available for 29,900 KRW per month, and Xbox Series X for 39,900 KRW per month, providing a new console and cloud gaming pass. After the 24-month contract period ends, the console becomes the user’s property.

For game beginners, the monthly fee is lower than the usual 30,000 to 70,000 KRW price for purchasing a single title, allowing them to enjoy these games. Existing gamers can broaden their choices by playing various genres, the company explained.

Currently, customers of other telecom companies can also use the same service without discrimination as it is open to the entire nation, but SK Telecom plans to expand benefits such as T Membership linkage exclusively for SK Telecom customers in the future. Discussions on a separate tariff plan targeting cloud gaming are also underway.

'5GX Cloud Gaming' is the third subscription service launched by SK Telecom following Flo and Wave. Yoo Sang-young, head of SK Telecom’s MNO business, said, "We focused on games in the 5G era. This service requires 5G advantages such as speed much more than the previously introduced music and media OTT services," adding, "Our goal is to reach 1 million subscribers within three years." The short-term goal is to secure 100,000 users by the end of the year.

What is Cloud Gaming? ... "Works Smoothly Even on Phones 4-5 Years Old"

Cloud gaming is considered the next-generation gaming platform and the 'future of gaming' following console, PC, and mobile games. This is because it allows enjoying high-spec games anytime and anywhere through cloud streaming.

Joa Jae-yu, head of SK Telecom’s cloud gaming business, introduced, "Simply put, cloud gaming requires no downloads or installations." Jeon Jin-soo said, "It will bring a fundamental change in the way games are enjoyed and will be a major turning point in the gaming market, dividing before and after cloud gaming."

Analysis of the beta service conducted by SK Telecom and MS over the past year confirmed that 45% of users played games outside their homes via mobile devices. It was also confirmed that mainly males under 30, who have played console games at least once, used the cloud gaming service, including advertising models Son Heung-min and Faker. The average gaming time was 30 minutes per day, and heavy users enjoyed up to 3 hours per day. Customers of other telecom companies accounted for 35% besides SK Telecom customers.

Joa Jae-yu cited 'games' as the biggest advantage of 5GX Cloud Gaming. He explained that ultra-high-spec, ultra-high-quality Xbox blockbusters that were not possible on existing mobiles can be easily enjoyed on smartphones or tablet PCs.

On this day, during a separate Q&A session with gamers known as 'Game Uncles,' Joa Jae-yu confidently stated in response to Gsikbaekgwa Kim Seonghoe’s comment that "responsiveness is the most important in fighting games," "We have optimized through a year of testing. You will see that the games run without problems to the point where you might wonder if it’s really cloud gaming." To former pro gamer Lim Yo-hwan, who uses a 4-5 year old phone, he explained, "This is the biggest advantage of cloud gaming. Since all calculations are done on the server, even somewhat old phones run smoothly."

At the same event, game YouTuber MC Yoonsunsaeng pointed out, "Specs and responsiveness are important to gamers, but 'so what games can you actually play?'" In response, Joa Jae-yu introduced, "You can basically play the latest and most fun games on Xbox," adding, "More games will continue to be added."

"The Three Telecom Giants Face Off" Cloud Gaming Battle... Securing Popular Games is Key

Following KT and LG Uplus, SK Telecom has also intensified its cloud gaming service, making the competition among the three telecom giants fiercer. Previously, LG Uplus launched 'GeForce Now' in partnership with Nvidia, and KT introduced the native subscription game service 'Gamebox.' This can be interpreted as telecom companies positioning cloud gaming as the killer content of 5G.

However, the service platforms offered by the three companies are quite similar. They have opened services to subscribers of other companies and are actively competing to attract users. Ultimately, the competition will be decided by which platform secures popular games. According to market research firm Newzoo, the global cloud gaming market is expected to grow from $170 million last year to $585 million this year and $4.8 billion in 2023.

The scene of the 'SKT 5GX Cloud Game' online press conference held on the 16th

Through this service launch, SK Telecom plans to actively support the global expansion of so-called K-games on Xbox. Recently, two companies, Action Square and Sunnyside Up, agreed to release their games for Xbox. SK Telecom is also accelerating the development of innovative technologies such as pre-scheduling and optimization solutions to enable smoother cloud gaming based on the 5G network. SK Telecom and MS also jointly operate the cloud platform Azure.

Yoo Sang-young, head of MNO business, stated, "We will lead subscription-based game services with the high-quality 'SKT 5GX Cloud Gaming,'" and "By discovering and supporting promising domestic games, we will further expand the cloud gaming ecosystem." Phil Spencer, MS Xbox Head of Gaming, said, "We are pleased that cloud gaming provided by SK Telecom and MS Xbox connects friends and families of gamers in Korea and worldwide, allowing freer play," adding, "We look forward to delivering fantastic gaming experiences to the Korean gaming community."

This content was produced with the assistance of AI translation services.