Deutsche Telekom's cloud gaming service MagentaGaming will launch by the end of the week

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Deutsche Telekom's cloud gaming service MagentaGaming will launch by the end of the week
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As the 5G revolution looms, a number of telecoms – like Deutsche Telekom – have entered the cloud gaming space:

are teaming up with cloud gaming companies like Hatch to provide 5G subscribers with access to their services.

Telecoms are capitalizing on cloud gaming services, which require high bandwidth and low-latency connections, to offer a 5G use case that's captivating enough to drive consumer awareness and supercharge 5G adoption at scale — cloud gaming isCloud gaming also presents an opportunity to push consumers interested in the services to upgrade to higher-value 5G pricing plans: Telecoms could bundle a gaming service subscription with a pricier 5G plan, for example.

Over the last decade, telecoms have become distributors of digital content like video and music as they expand the range of services on offer — but the gaming industry has remained relatively untouched. By adding cloud gaming to their list of offerings, telecoms will be able to open up significant revenue opportunities.

Their efforts to cater to gamers will give them a direct line to a lucrative market: The global subscription market for cloud gaming content is expected to be worth $2.5 billion by 2023, up from $387 million in 2018,

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