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Google is shutting down an effort to create exclusive games for Stadia, a huge blow for the fledgling cloud gaming service.
On Monday, Google announced it was disbanding the Stadia Games and Entertainment team, which was charged with developing first-party titles over the last two years. Apparently, the whole endeavor has been costlier than anticipated.
“Creating best-in-class games from the ground up takes many years and significant investment, and the cost is going up exponentially,” says Stadia general manager Phil Harrison.
As a result, the company is going to stop investing in the SG&E team, “beyond any near-term planned games." Instead, Google plans on spending more resources to build up Stadia’s cloud gaming technology, and deepening its relationships with third-party game studios.