• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechVideo Games

Amazon’s Coming After Game Companies

By
Chris Morris
Chris Morris
Former Contributing Writer
Down Arrow Button Icon
By
Chris Morris
Chris Morris
Former Contributing Writer
Down Arrow Button Icon
February 9, 2016, 11:37 AM ET
POLAND-LIFESTYLE-GAMES-IT
TO GO WITH AFP STORY BY BERNARD OSSER: Workers of "11 bit Studios" Polish IT company producing video games are seen working in office in Warsaw on July 2, 2015. The Warsaw-based "11 bit" studios has the hallmarks of an IT start-up. Around 40 video game developers sit in the open-plan office located in a 1970s building by a noisy expressway in an industrial part of town. AFP PHOTO/WOJTEK RADWANSKI (Photo credit should read WOJTEK RADWANSKI/AFP/Getty Images)Photograph by Vojtek Radwanski — AFP/Getty Images

Amazon, which has been nosing around the video game world for the past several years, is making its boldest play yet to establish a foothold.

The company has released a new, high-end game engine called Lumberyard that will allow developers to create games for PC, Xbox One, and PlayStation 4. And, in a twist on the industry’s standard practices, Amazon (AMZN) will not charge game makers any sort of royalty or subscription fee.

Instead, the company will monetize the engine through the use of its Amazon Web Services (AWS) cloud computing arm. The engine also integrates Twitch, the game stream service Amazon bought in 2014 for $970 million.

In the coming months, the engine will also support mobile games and virtual reality titles on devices from Oculus.

“When we’ve talked to game developers, they’ve asked for a game engine with the power and capability of leading commercial engines, but that’s significantly less expensive,” said Mike Frazzini, vice president of Amazon Games in a statement.

The company also introduced a separate service for operating and scaling broad multiplayer games, an extremely popular (and profitable) part of most of today’s AAA games.

For more, watch:

Amazon has steadily been building a presence in the gaming world for the better part of the past two years. Prior to its surprise purchase of Twitch, it had already begun laying the groundwork for a bigger push in the industry, launching its own in-house game development studio.

At the same time, it acquired Double Helix games, makers of Killer Instinct on the Xbox One and the classic title Earthworm Jim, and recruited top-level talent from around the industry, including Kim Swift, designer of Valve Software’s Portal and Far Cry 2 lead Clint Hocking. (Hocking left the company last August to rejoin Ubisoft.)

While there have been whispers that it planned to use its own Fire TV or Fire Tablet line to challenge consoles and mobile devices, Amazon has increasingly been taking a flanking approach as it establishes a foothold the industry. Twitch, for instance, has become the world’s leading social video platform for gamers, with over 100 million unique visitors per month and an average view time of 106 minutes per person per day.

And by luring game developers with a free, high-end graphics engine, it can drive more traffic to AWS, which will only increase that division’s bottom line.

Sign up for Data Sheet, Fortune‘s technology newsletter.

With Lumberyard, Amazon is giving developers—both large and independent—the ability to create games with strong community elements, including news feeds, leaderboards and in-game messaging.

By offering those features freely up front and charging game makers on the number of active daily users their game has, it could win over independent developers. That’s increasingly important, as titles from those studios have been growing in popularity with players who are looking for a break from the big-budget sequels that tend to dominate the sales charts.

About the Author
By Chris MorrisFormer Contributing Writer

Chris Morris is a former contributing writer at Fortune, covering everything from general business news to the video game and theme park industries.

See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

Even Nvidia’s own research teams can’t get enough GPUs amid the race for AI computing power
NewslettersEye on AI
Even Nvidia’s own research teams can’t get enough GPUs amid the race for AI computing power
By Sharon GoldmanApril 9, 2026
10 hours ago
You’re looking at the AI revolution all wrong, top economist says: 40% unemployment and a 3-day work week are the same thing
AIdisruption
You’re looking at the AI revolution all wrong, top economist says: 40% unemployment and a 3-day work week are the same thing
By Nick LichtenbergApril 9, 2026
11 hours ago
Zoom CEO Eric Yuan
Successthe future of work
‘I hate working 5 days’: Zoom CEO says traditional work schedules are becoming obsolete—and predicts a 3-day workweek by 2031
By Preston ForeApril 9, 2026
12 hours ago
Nutella seen aboard the Orion spacecraft Integrity.
RetailFood and drink
Nutella jumps on the best product placement money can’t buy: A trip to the far side of the Moon
By Catherina GioinoApril 9, 2026
13 hours ago
kash
Cybersecuritycyber
Trump’s ‘cease-fire’ won’t stop Iranian hackers for long, cyber experts say
By David Klepper and The Associated PressApril 9, 2026
13 hours ago
lego
PoliticsIran
AI-savvy pro-Iran groups troll America with Lego Movie-style propaganda videos mocking American failure
By Sam McNeil and The Associated PressApril 9, 2026
14 hours ago

Most Popular

The U.S. government is spending $88 billion a month in interest on national debt—equal to spending on defense and education combined
Economy
The U.S. government is spending $88 billion a month in interest on national debt—equal to spending on defense and education combined
By Fortune EditorsApril 9, 2026
15 hours ago
Gen Z doesn't want your full-time job. They want several part-time roles, and it's reshaping the entire workforce
Success
Gen Z doesn't want your full-time job. They want several part-time roles, and it's reshaping the entire workforce
By Fortune EditorsApril 9, 2026
19 hours ago
2 years ago, Saudi Arabia quietly canceled the ‘petrodollar’ deal with America that wired the world economy for 50 years. Then war broke out in Iran
Energy
2 years ago, Saudi Arabia quietly canceled the ‘petrodollar’ deal with America that wired the world economy for 50 years. Then war broke out in Iran
By Fortune EditorsApril 7, 2026
2 days ago
A Meta employee created a dashboard so coworkers can compete to be the company's No. 1 AI token user—and Zuckerberg doesn't even rank in the top 250
AI
A Meta employee created a dashboard so coworkers can compete to be the company's No. 1 AI token user—and Zuckerberg doesn't even rank in the top 250
By Fortune EditorsApril 9, 2026
18 hours ago
Self-made billionaire MrBeast says his work-life balance is nonexistent and calls it a ‘miracle’ if he works less than 15-hour days: ‘I live to work’
Success
Self-made billionaire MrBeast says his work-life balance is nonexistent and calls it a ‘miracle’ if he works less than 15-hour days: ‘I live to work’
By Fortune EditorsApril 8, 2026
1 day ago
Gen Z workers are so fearful AI will take their job they’re intentionally sabotaging their company’s AI rollout
AI
Gen Z workers are so fearful AI will take their job they’re intentionally sabotaging their company’s AI rollout
By Fortune EditorsApril 8, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.