Square Enix closes cloud gaming arm Shinra Technologies

Since it is Microsoft, it is hard to imagine it will suffer the same fate as Shinra, but this surely isn’t a good sign for the company and all of those looking to dive into cloud gaming.

Back in 2014, Square Enix used a subsidiary to operate a company called Shinra Technologies. The branch company was charged with creating a “new ecosystem for the games industry” as a method of streaming AAA games to players and allowing developers to create games that constantly evolve.

The prospect of cloud gaming has been dealt another blow.

The two subsidiaries are Shinra Technology in NY (headquarters) and Shinra Technologies in Japan, and the extraordinary loss is approximately 2bn yen (£11.5m).

Square Enix claims the reason behind its closure is due to the lack of third-party funding. However, [Shinra Technologies] has found no prospective investors at this point, and therefor has to discontinue its business.

Square Enix are responsible for a quite a few role-playing games – check out our list of best RPGs on PC.

While Shinra Technologies never produced anything for Square Enix during its short lifespan, the company had been previously rumored to be working with Avalanche Studios on a cloud based multiplayer mode for the recently released Just Cause 3.

Were you excited about the potential of Shinra Technologies or had you forgotten about this altogether?