Hatch and the new opportunity of on-demand gaming

[Music] oh hey good to see you all here my name is you honey honk Allah and I'm the founder and CEO of hats entertainment and today I'm talking to you about about the next disruption in mobile gaming and what kind of opportunities it can give for the developers going forward so what is hats hats is world's first on demand so beaver founded a little bit over two years ago V is V not from premier attainment the Angry Birds

company and our mission is to change the way people play today I think for the games is quite well as to this so it's already generating like 40 billion in revenue you know in a year in a year oh it's on okay okay very good and then in a parenthesis the free-to-play model is quite well established as well I'm super this supercell Rovio thing they're all showing how to make money with the mobile games and 80% of app related revenue comes from the games so it's the substantial way to make money but then like if you think how many games do you know on mobile that are based on the subscription model not

if you if you think like in many other industries if you think like from physical to digital industries many have seen lots of crowd recently by taking advantage of the subscription model that it's not about buying it once it's in Doheny but it's it's paying it like on monthly basis and it is something like I believe is going to be big opening for the gaming gaming as well and I believe that the gaming is going to follow the same path as the music the movies etc and if you see the top subscription apps as of today we can see there's Netflix that's tinder there's Pandora this YouTube there's even LinkedIn but like where are the games so this all tells that something is missing from the games we are missing

a very viable monetization method and I I myself I'm I used to be afraid to play developer I I founded a game studio in Korea back in 2002 and we we were focusing making free-to-play games already back back then and then I headed advertisement in Romeo and we were pioneering the use of advertisement in the games and with the monetization it's really shaped also the way you design the games and what kind of gameplay you can make with the monetization medal I feel that something is missing from today's mobile gaming that each game is kind of following the same patterns the same core loop etc and I believe that there are lots of different kinds of games and gaming types we can make possible with bringing subscription-based monetization to the gaming and what this means is that to

enable this new model on demand model for the gaming it requires that people should be able to play games as easily as they would what's a movie or listen listen music track from Spotify so you should be able to just press play to play and that's it because that's the only model where people are used to as far as subscription services go so like the gaming should follow the same pattern so no fuss you just want to start playing no downloads no installation and this has been something many companies have tried and many companies have failed to deliver us as well and I think you know Netflix you probably are familiar PlayStation now as well and the challenge with these services are that they're not that suitable for mobile because of high bandwidth uses so now

like during one year I go a little bit back to the history like we're where we started soon but in one year we have been able to prove that on-demand gaming it's technically possible and we have been able to make it with much lower bandwidth than what the other other gaming solutions or what the other entertainment sources require us of today so hats is I think the world's only on-demand gaming service for mobile but I believe the only viable service of its kind as well so with hats you can get the full gaming experience full featured on droid games so this means that you can make your Android game it unity or with some other engine and you can make it work with on demand model with hats so no html5 needed you can create your

games as you would otherwise so now uncle uncompromised Lolita's a game no like uncompromised low latency gameplay native quality graphics so the experience is exactly like you would get otherwise just the difference is that the games you don't need to download them you don't need to install them you can just start playing straight away and this platform is also ideal for making multiplayer games that with this architecture making multiplayer games is much easier than before I used to make make multiplayer games before and I know like how time-consuming it's actually to make even a smallest prototype right to run that you need to really focus on making lots of network code you need to really like try to figure out like how to synchronize the game sessions how to make everything work together it it can take like 1 or 2 months just to get the first prototype running with hats

the cloud architecture like what we have it allows for making multiplayer games much easier and we have been able to demonstrate and you can get up and running in a matter of two days so like we have been able to run and make game prototypes in less than a week so it's a it's very ideal platform for multiplayer games future of gaming and if you compare that with the other kind of instant game applications like facebook Messenger I believe that the full featured on droid games they always win win the match and then with that like we happy we are now like demonstrating that we are able to run these games like Angry Birds we are happy to have in the service then Monument Valley Rayman pac-man Leo's fortune and many other brands so like we do have greatest premium games already on the service and

we are also like looking to get like more and more premium premium games there and this gives each of like game developer any opportunities because we can we can monetize with the premium games and we can help to unless developers to focus on making great games instead of focusing on the monetization themselves so how this all started they started like 1 year ago actually in this very room VESA who's sitting in the corner he was giving the first ever live demo of hatch and did it did it work yeah yeah yeah and from there in February we had already signed more than 50 contact partners with more than 90 signed games in the service and then we

unannounced closed beta early March last year and from there we launched this in in the end of the summer we launched this in Finland followed by Scandinavia and then it was starting to get hotter already so like we had already signed more than 100 content partners and more than 250 games to the service and then after seeing like all the technical pence marks all the technical kpi's looked good we felt confident enough to start rolling this out in the Central Europe as well so we went to Germany France Netherlands etc and also like to Estonia in the end of the last year and today I'm happy to

announce that we are also live now in the UK and in the Ireland as well so this been a huge run basically from a1 like first live demo ever to fully working live service in more than 14 countries within one year so like I'm super happy for my whole team like they're like truly Superstars to make this happen and when we started like lots of people like we're thinking like it's a big B when we can never make this work they were thinking like we are crazy and that because so many companies had failed to deliver this kind of live gaming on on-demand gaming and the streaming technology that didn't think like this would never like be possible but now like I'm very happy to say that we have proven that the cloud gaming is possible that that we

can do it and very happy to be live now in so many countries and then coming soon we are going to be featured like end of this week in Google play's early access program and that's very huge step for us as well so we look forward to like getting momentum and increasing like a number of users like as we go forward so like short year for us but we have been like able to I think deliver what we promised one year ago in this room and then the content is really important part of our service and like we are just a platform is a service like where we want to help bring the best content on the planet to the people and so we have already Angry Birds we have Space Invaders we have pac-man we have Monument Valley etc well I'm super proud to announce that we have been able to

sign Square Enix on us as well so hitman I think one of the best mobile games ever probably maybe one of the best games ever will be will be on hatch the hitman sniper and then also like other Square Enix mobile games Lara Croft go hitman go and their sex and then I just would like to invite you all to join this disruption that we are now looking for more developers we are looking developers who are interested in gaming who want to make great games so like we now have this platform live the service live in fallen different modern

funding for in different countries so like we would like you to invite be part of this disruption and we want to help you to focus on making great games and we can help we can take care of the monetization and I believe like it's just like matter of time like when these kind of services become the mainstream become the the main way of playing playing games there are so many benefits and just the gaming is much funnier when you can stressed start games like pressing play so like it's all all very good so thank you for this I'm happy to take questions like if you have yep so like the question was like do we have plans on iOS and we have now been focusing on Android because what I have

learned from the past is that like you need to focus on one platform for us to get the experience right so we want to now focus on optimizing the experience making sure that the experience is good good and there are no technical reasons why why this wouldn't work on on iOS and this is also like something like we look forward forward having incoming years any other questions we have a couple of minutes so there's any questions from the hello it was only I'm gonna give you a mic Esther developers under the script subscription model yeah yeah so the question was that was to revenue model like for hats oh that's that's very simple so we have two

streams for revenue we are making money with advertisement and we are launching the subscription tier this year as well and we pay out 70% of the revenues to developers so it's very very standard [Music] [Music]