 So it feels like I've been waiting for at least a couple weeks for some big news I mean yeah, we got the super Mario maker 2 direct, which was really nice But that's basically been it's been radio silent on Nintendo's front But that seems to be changing as of today or really as of a couple days ago And we're just now getting wind of everything that's happening here And I have enough information to actually talk about it now first before we get into the news I want to remind you to drop a like on this video the more of you guys that like this video the more people that get to see the video They YouTube's algorithm works out that likes and dislikes and all that jazz end up leading to more people getting notifications So there you go. Let's just get into the news now It came out recently that Sony and Microsoft are teaming up for the Azure cloud to become a cloud gaming service For Sony now the Azure cloud is also the gaming service that project X cloud that Microsoft is using will run on Which isn't a surprise considering that Azure is Microsoft's cloud service So obviously there's gonna be some interconnectivity there and in the world of cloud There's really only a few options out there and for gaming purposes really only two of them One of them basically be an Amazon the other one being Microsoft you could argue Google would be a viable option But Google also has Google stadia and they don't seem to be wanting to share that technology with other game streaming services Probably for competitive reasons. That's why it's so interesting to see Sony team up with Microsoft now You might think I'm just blowing smoke up your butt, but we actually have an official Press release from Sony So let's go over it and then we'll get into why this matters for Nintendo It says Sony and Microsoft to explore strategic partnership companies to collaborate on new cloud-based solutions for gaming experiences and AI solutions It's comes from Tokyo in Redmond, Washington Sony Corporation and Microsoft Corporation announced on Thursday that the two companies will partner on new innovations to enhance customer Experiences in direct-to-consumer entertainment platforms and AI solutions under the memorandum and understanding signed by the parties the two companies will explore joint development of future cloud solutions and Microsoft Azure to support their respective game and content streaming services in addition the two companies will explore the use of current Microsoft Azure data center based solutions for Sony's game and content streaming services by working together the companies aim to deliver more enhanced Entertainment experiences for their worldwide customers. These efforts will also include building better development platforms for the content creator community as A part of the memorandum of understanding Sony and Microsoft will also explore collaboration in areas of Semiconductors and AI for semiconductors This includes potential joint development of new intelligent image sensor solutions by integrating Sony's cutting-edge image sensors in with Microsoft Azure AI technology in a hybrid manner across cloud and edge as well as solutions that leverage Sony's Semiconductors and Microsoft cloud technology the companies aim to provide enhanced capabilities for enterprise customers in terms of AI The parties will explore Incorporation of Microsoft's advanced AI platform and tools in Sony's consumer products to provide highly intuitive and user-friendly AI experiences Sony is a creative entertainment company with a solid foundation of technology We collaborate close with a multitude of content creators that capture the imagination of the people around the world and through our cutting-edge Technology provide the tools that bring their dreams and vision to reality said Conchiro Yoshida president and CEO of Sony PlayStation itself came about through the integration of creativity and technology our mission It's to seamlessly evolve this platform as one that continues to deliver the best and most immersive Entertainment experiences together with a cloud environment that ensures the best possible experience anytime anywhere for many years Microsoft has been a key business partner for us though the course of the two companies have also been competing in some areas I believe that in our joint development of future cloud solutions We'll contribute greatly to the advancement of interactive content Additionally, I hope that in areas of semiconductors in AI Leveraging each company's cutting-edge technology is a mutually complimentary way to lead the creation of new value for society and Then just some general information on Sony and Microsoft Now this is obviously huge for many reasons because it does mean that while they are directly competing companies They recognize the importance of cloud gaming and obviously Microsoft is going to want Sony's cloud services to be on their cloud because it just gives them a leg up in the whole cloud computing space Especially when they're competing against Google and potentially Amazon in the future So this has been a great move at least for Microsoft side of things and probably for Sony's as well as long as the cloud Technology is ready and prepared to be you know put out there on a massive scale for video games So again, this is really cool news. But how does this impact Nintendo? Well Apparently a lot more than you might think Now the following comes from an insider from an analyst from someone who attends all the Nintendo investors meetings and Has a lot of inside sources David Gibson on Twitter and oh boy Does he elaborate first with some thoughts of his and then with some information that we can't ignore? So you see him saying here in response to Benji sales who reported on the official press release and all that That it's a big deal that Sony didn't have the cloud infrastructure to offer cloud service So their choice was either AWS which is Amazon or Azure plus They both know if they use the state the same standards for streaming like current generation consoles do around PC architecture Then consumers at win plus it means more likely for Sony and Microsoft to be the streaming winners again Despite new entrants aka Google stadia Where does that leave Nintendo likely an agreement with Microsoft and even perhaps Sony to offer their streaming services on switch? Now that seems speculative by the way, but you can understand why that would be a huge deal now This is where it gets really juicy but also Nintendo itself is looking also to work with Microsoft Azure to offer its own streaming service in limited regions such as Japan and the United States so then we end up with streaming winners being Sony Microsoft and Nintendo just like the current system, but with Azure as the backbone their perspective studios are crucial to that process and offering a compelling User proposition more things change the more it stays the same. So this my friends is huge What David Gibson is inferring is that Microsoft and Sony's streaming services for their respective platforms May be available on Nintendo platforms in the future, which means That's right being able to play Sony in Microsoft and AAA third-party games on switch through their streaming services But that is speculative. It's probably really good speculation based on the inside information He has but still speculative, but what isn't speculative What is him putting it out there is that he is hearing that Nintendo is also Working out a partnership with Microsoft to create their own streaming service. You guys remember Back when Google stadia, or I guess it was called project stream at the time last year when they when they had um the the whole Assassin's Creed Odyssey and all that going on and I talked to you guys about how Nintendo needs to get their foot in the door with game streaming and Largely Nintendo has kind of said no, we don't need to do that and they've just kind of left it at that and Skirt it around the whole issue and say they're not really concerned about competing in that way Well bottom line is that might be what they say publicly that doesn't necessarily mean that's what's going on behind the scenes Nintendo Might be extremely forward thinking here and might actually be with the times in creating their own streaming service I said they needed to do it and it appears that they are probably most likely doing it now You might say well, that's just one person out there I'm gonna throw my head hang like I have my hat in the ring here when I heard about this story I reached out to some people that I know within the industry and Try to get some confirmation and of the three people I reached out to all three of them told me that Nintendo and Microsoft are actually in talks right now on a Nintendo based cloud system for video games So it is a thing. It's real at least as far as my sources are telling me But again, this information initially came from David Gibson. So give him all the credit here I'm just kind of doing my own research and realizing. Oh wait, this is like a legit thing that could be happening here Now, there's no idea based on who I talked to about when this service might be coming out We know whether it's the end of this year whether it's next year my best bet's probably 2020 2021 But either way, it's huge that Nintendo is partnering with a proven company To get out a gaming stream service and that Nintendo might be open to allowing other companies gaming stream services including maybe even Google stadia by the way We can't rule that out on switch and other Nintendo platforms moving forward I think this is just brilliant This basically blows the door off of everything when with gaming and opens up every possible Opportunity for Nintendo to be successful regardless of how powerful their hardware is Which is a big deal for Nintendo and a big deal for Nintendo gamers who have really good internet connections But they don't always have the best hardware and they would like to play the latest triple-a games on the switch So I think this is awesome So now look you might not be into Nintendo's game streaming service You might still prefer to buy all of Nintendo games physically or digitally and all that stuff and that's fine There's nothing wrong with that but think about the opportunity of potentially having Sony and Microsoft's systems on Nintendo being able to play Halo and the last of us part 2 and Death Stranding and God of War and Gears of War and like being able to grab all these IPs from the other companies I wouldn't otherwise not be built to run on switch be running on switch through the streaming service that to me is The real shocker here And it's not known at this point if Microsoft's gonna allow Sony's streaming service on Xbox And if Sony's gonna allow Microsoft's streaming service on PlayStation 5 But I don't know that that's exactly how far that partnership goes. They definitely aren't saying that publicly But for Nintendo to potentially have both on their platform shows that one Neither company is really worried about what Nintendo is doing hybrid wise to compete with them and two They just want a bigger audience for their services. So I honestly think that this is brilliant Obviously, this is basically the way to combat Google stadia It's for Microsoft to be like look, we can't just do our own thing We need all these other companies also using our services and making their own streaming platforms running on it Because then Google can kind of compete against the entire game industry as we know it today Versus just competing with themselves. Oh, there's still some differences here because Nintendo Microsoft and Sony would still have their own like Instances and own platforms within Azure. It's not this one giant interconnected thing like Google stadia is but you know what? It's a big win for Microsoft I think it's a brilliant move for Sony and I think if Nintendo is doing this as my sources and David Gibson are saying Then this is big for Nintendo. I my mind is swimming in the possibilities of what cloud Gaming can be for switch Basically, there is a future that as long as I have good internet I can pretty much play any game that exists as long as it is on either one of those three streaming platforms On a Nintendo system This makes it so I don't need to own a PlayStation or an Xbox someday That's huge and what if Nintendo brings their service to a PlayStation and Xbox like You literally would be offering a potential future here We're all three gaming companies are working together to make it where customers are just choosing the platform So they get to play the game in the way they want to play it But they also have access to everything and I love a future where even if it's just through streaming the gamers have access to Everything now again, we've seen how Google Stadia works We haven't seen how Microsoft's X stream and and the Sony and Nintendo systems work yet But this is big. This is a game changer for the entire video game industry Anyways, you guys let me know what you think about this down in the comments below I also want to apologize for the lighting. I realize I don't know my studio lights on me right now And I look a little grainy maybe a little dark. I'm sorry. I just Having in a physical issue at the moment That's not an enabling me to set things up the way that I would like but I just ask you guys to please hang in there And don't worry. I'm okay. I'll be alright that being said be sure to enter our Nintendo Switch Super Smash Bros Ultimate giveaway through the gleam. I link down in the description. That's that bundle giveaway That's a switch and smash special edition all that great stuff Otherwise, thank you guys for tuning in and I'll catch you in the next video