Pentanet and Nvidia strengthen alliance with addition of New Zealand to GeForce NOW territory
High-speed internet specialist Pentanet (ASX: 5GG) has executed an amendment to an agreement with global artificial intelligence specialist Nvidia extending their GeForce NOW (GFN) alliance partner agreement.
Under the extension, New Zealand is now included as a serviceable territory, with an opportunity to add neighbouring regions.
It also provides Pentanet with the right to continue as the exclusive distributor of GFN in Australia.
GFN, powered by CloudGG cloud gaming, allows customers to play games without needing to invest in consoles or custom PCs.
Solid membership base
Since its launch in January 2021, Pentanet has amassed more than 530,000 GFN members, serviced by infrastructure located in Perth and Sydney.
Pentanet managing director Stephen Cornish said the company has a solid base of paid memberships, effectively covering the fixed monthly recurring costs incurred in the early stages when the service was launched.
He added that future growth is looking positive, with interest in the cloud gaming market in Australia projected to experience significant growth in coming years.
“Now that we have demonstrated success with Nvidia, we are moving to a capital expenditure deployment model more in line with our requirements and retain a first right of refusal to continue being the sole distributor for GFN in Australia,” Mr Cornish said.
“With over half a million members now part of the CloudGG ecosystem, Pentanet continues to demonstrate the growing appetite for cloud gaming in our territory.”
Strong growth profile
Pentanet’s recently-released Q2 results reported that the company’s gaming segment achieved an encouraging 52% quarter-on-quarter paid membership growth, up from 26% in the prior period.
The company says the overall growth on the platform is driven by a diverse membership offering with the introduction of the ‘Ultra’ membership tier, marketing efforts, new content additions and additional growth from the launch of GFN on the Optus SubHub platform.
Phil Eisler, Vice President of GFN at NVIDIA, said Pentanet has fostered a deeply-engaged cloud gaming community in Australia.
“Its commitment to delivering GeForce RTX 3080-level performance that elevates experiences for gamers nationwide and underscores the company’s dedication to pushing the boundaries of gaming and internet connectivity.”