What updates did Amazon introduce to Luna?

Amazon has reintroduced Luna, its cloud gaming service, with a simplified structure aimed at attracting casual and midcore gamers. The core functionality remains unchanged: users can stream games directly from the cloud without downloads, consoles, or gaming PCs.

The service enhancements update the catalogue and tier offerings. Luna now offers two tiers, Standard and Premium (formerly Luna+). The Standard tier is included with Amazon Prime membership at no additional cost and provides access to a larger catalogue of AAA titles such as Borderlands 3, EA Sports FC 25, and Hogwarts Legacy. The Premium tier offers access to an expanded catalogue of high-profile titles including Batman Arkham Knight, Star Wars Jedi: Survivor, and Death Stranding Director’s Cut. Users can also subscribe to third-party cloud gaming offerings such as Ubisoft+ Premium, but these take a back seat in terms of the overall platform strategy. 

A key addition to both tiers is the new GameNight catalogue, a selection of party games designed for shared living-room experiences, or “couch co-op mode,” as Amazon has dubbed it. Amazon Game Studios’ new title, Courtroom Chaos: Starring Snoop Dogg, which blends the familiar courtroom TV show format with AI-driven gameplay to create an unpredictable and engaging experience, is likely to generate the most coverage. Players are limited to playing 10 cases a day due to the AI processing costs involved, but have the opportunity to buy more playthroughs through in-game/app purchases. Having tried out the game, this is one of the more interesting implementations of AI to support gameplay.   

GameNight games must be played on a shared screen such as a TV or PC. Users scan a QR code with their smartphone when beginning to play a title in the catalogue and use it as a game controller and input device. Amazon’s party game collection hits Luna ahead of Netflix’s own announced party games coming to its service later in 2025.  

Why did Amazon shift its Luna strategy toward casual gamers?

Amazon repositioned Luna from a general cloud gaming platform to a curated gaming catalogue delivered via the cloud to expand its audience, improve profitability, and enhance the value of Prime subscriptions. By shifting Luna’s positioning to a cloud gaming catalogue, Amazon can target a broader demographic underserved by legacy console and PC platforms. Targeting these underserved users reduces Luna’s competition and sets the service on a path to scale user acquisition, thereby offsetting the high costs associated with cloud gaming infrastructure and licensed content business models. In addition to improving business dynamics, the Luna enhancements increase the perceived value of Prime subscriptions and are likely to improve subscriber retention.

Games catalogues targeted at casual, kids and family gamers are not new to the market. Significantly, there is not one example over the last two decades that has managed to scale to a significant level. Amazon is betting it can break this cycle by leveraging its huge 220m+ Amazon Prime subscriber base. Netflix is taking a similar approach with the launch of its games offer within the Netflix subscription.   

What is the anticipated impact?

The updated Luna offering is expected to improve acquisition metrics throughout the customer funnel. Firstly, new titles such as Courtroom Chaos: Starring Snoop Dogg and Angry Birds Flappy Golf will increase user awareness. Secondly, the new GameNight library and living room party sessions will create social experiences that drive service trials and conversions. Ampere’s Q2 2025 Games Consumer survey found that Luna subscribers are likely to engage with a game if their friends are playing it, if they enjoyed the trial, or if the game is part of a service they already subscribe to. These party sessions introduce the service organically and leveraging factors that are likely to convert users into subscribers. Finally, if the new offering successfully engages Prime subscribers, the broader Prime subscription churn may decrease. Ampere’s Q3 2025 Media survey found insufficient usage as the top churn factor among Prime subscribers.

Luna’s new strategy may also have broader industry implications. Its success could lead to reduced subscription stacking, as users fulfill their entertainment needs with fewer services. Moreover, legacy gaming platforms may experience increased user churn as new competitors, such as Luna and the upcoming Netflix Gaming, draw away casual gamers.