In 2017, Playkey organised an ICO which generated the equivalent of more than $10.5 million in cryptocurrency contributions. The pandemic also “drew the attention of big companies, , Sber and alike, to this kind of business they decided to focus more on home entertainment,” says Guriev. Previously, the startup had created a decentralized server network - which helped increase server slots very fast when Playkey needed to address the sudden demand surge. We became a profitable company in just a few weeks.” “Our revenue skyrocketed: +200% in March. Playkey was lucky in 2020, when the pandemic drove people to online gaming. As a result, people with small usage time won’t subscribe.”Īfter Playkey stopped selling subscription plans, “50% of our customers were lost, but our ARPU increased by 60%,” says Guriev. “In the subscription model, gamers pay the same amount whether they play just 1 hour or 100 hours per month - which in turn lowers conversion rates since prices must be increased to make the business profitable. Soon afterwards, Playkey launched pay-as-you-go plans as a substitution to subscription. We suspended marketing activities, reduced the team and started working on the product.” As a result, the company burned around $1 million in little-efficient marketing operations. “We decided to refocus on creating a more valuable and scalable business model. However, customer acquisition cost was much higher than customer life time value, he conceded. “With this funding, we started scaling our business, spending money on ads and acquiring new customers,” said Guriev in an exchange with East-West Digital News. In 2017, the startup raised $1.5 million from Darz, a major German data center company, then $2.7 million from the Internet Initiatives Development Fund (IIDF, or FRII in Russian). “Last year we launched My.Games Cloud so people could play the latest and most demanding games with the highest graphics settings using any device. Our audience numbers beat our expectations ten-fold even during the beta,” Group CEO Boris Dobrodeev said in a statement.įounded in 2013, Playkey is headquartered in the city of Perm, Russia. These include CCP Games, Gaijin, Funcom, Nacon, Paradox Int, Techland, and others, besides My.Games own games. The acquisition comes as MyGames Cloud, launched in public beta in late 2020, already offers a catalog of some 250 games from developers. Its technologies are “unique solutions for coding, streaming and decoding images, which enables high speeds of graphics streaming at the highest graphics settings.” Playkey’s solutions allow game developers to launch any game on popular devices like PC, tablets and smartphones via video streaming. But Playkey founder and CEO Egor Guriev said Group will buy the remaining shares by the end of this year. Last week the group announced the acquisition of a controlling stake in the company - 80.05% according to the Russian company register cited by the media. Through this acquisition, the LSE-listed Russian Internet major intends to “develop Playkey solutions within My.Games Cloud and scale cloud gaming in Russia.” Thanks to this handy app, you can keep all your most important documents and files safe and sound in the cloud, ready for you to access them whenever you Group is in the process of acquiring game streaming startup Playkey. You can also easily create folders and shared files, making it simple to share certain information with specific people.Ĭloud Mail.Ru is an excellent cloud storage app, making it a great alternative to similar apps like Dropbox, Mega or Drive.
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