The console will likely be sold under the "Made by Google" umbrella similar to the Pixel 2, Home Mini, and Pixelbook, but it's still unclear how the cloud streaming service will work.
According to numerous sources, the company is now working on a new subscription-based service, compatible with Chromecast, which would be used to stream games. The subscription game service could work on Google's Chromecast and possibly with the rumored console. Should Google launch a streaming game subscription service? It's now under development, under the code name Yeti, and that Google is putting quite a bit of investment into it.
Google's YouTube website increased its video game content after Amazon.com acquired the popular Twitch platform for $970 million in 2014.
Codenamed Yeti, it would enable players to stream games, rather than download them, in a similar way to Sony's PlayStation Now platform. How much input lag a user will encounter as well as the resolution they'll be able to play at is typically dictated by their Internet speed.
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Game streaming removes the need to purchase expensive video game hardware, since all the game processing is done in the cloud. But The Information reports that senior executives at Google have never given gaming projects the required resources and attention to grow, leading to unrealized ideas and disorganization. The company has tested several versions of the tech so far and is said to be targeting "top tier" gaming developers.
Google hired Phil Harrison, formerly of PlayStation and Xbox, last month which definitely adds some credibility to the claims that Google is going to take the multi-billion dollar games industry more seriously. Brought on as a VP and GM in Google's hardware business who will report directly to Rick Osterloh, he has experience building consoles at both Sony and Microsoft.
The service was reportedly in development for around two years, but it's yet to see the daylight.