Alphabet and Netflix Are Both Making 1 Key Mistake. Will Their Stocks Suffer?
It's not often that Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG) and Netflix (NASDAQ: NFLX) are compared in the same industries, but both companies' recent pursuits in gaming could see them directly compete soon.
No doubt, gaming can be incredibly lucrative; however, Alphabet and Netflix have both taken a flawed approach to entering this highly competitive industry -- and it could negatively impact each of their stocks.
Alphabet launched its cloud gaming service, Google Stadia, in November 2019, deciding in February 2021 to scale back the platform after less than two years because of dismal growth. Now, Netflix seems poised to follow Alphabet's path into games by similarly pursuing cloud gaming, a largely underperforming technology.
Source Fool.com
