Expensive Gaming Hardware May Drive Growth for Amazon Luna, Says Executive
July 27, 2026
The rising barrier to entry for enthusiast gaming setups might provide a significant boost to Amazon’s cloud streaming venture. Jeffrey Gattis, who leads the Amazon Gaming division, suggested in a discussion with The Game Business that the current trend of inflating hardware costs could shift the market in favor of services like Luna. Historically, the convenience of reasonably priced home consoles made cloud gaming a niche interest. However, with the manufacturing world facing crises in components like RAM, there is speculation that next-generation hardware could retail for four figures, potentially pricing out a large segment of the traditional audience.
Gattis pointed out that high-end gaming has often focused exclusively on dedicated fans willing to spend heavily. By contrast, Amazon sees an opening to capture a demographic that is uninterested in the heavy financial commitment of a thousand-dollar console or a complex PC build. This strategy also addresses the increasing cost of individual software titles, which now frequently retail for $70 and require significant time for downloads and setup. Luna’s goal is not necessarily to replace physical consoles for the most dedicated players, but to offer an accessible alternative for those currently left behind by the industry's focus on high-priced equipment.
While Amazon has faced hurdles in the gaming sector previously—including the mixed trajectory of its flagship title, New World—Gattis believes the company now possesses a unified and clear strategy. The focus is currently on expanding the library of available games by persuading publishers that cloud streaming serves a unique market rather than drawing customers away from traditional purchases. By framing Luna as a way to reach users who physically cannot afford high-end hardware, Amazon hopes to broaden its ecosystem.
Despite potential obstacles such as regional internet infrastructure limitations, the executive remains confident in this thesis. As the price of entry-level gaming devices continues to climb, the appeal of a subscription-based streaming service that requires no specialized hardware becomes increasingly practical. Amazon intends to capitalize on this shift, positioning Luna as a solution for a growing number of price-sensitive players.
Read original at PC Gamer Gaming Industry.