[ad_1]
Small cap Immersion Corporation (NASDAQ: IMMR) is on the rise as its haptic technology could be added to a second major gaming console after its success with another.
What happened: Immersion has a royalty agreement with Sony Corporation (NYSE: SNE). The deal allows the company to use Immersion’s haptic technology in VR games and controllers, including the top-selling PlayStation 5.
After the success of the PlayStation 5 and the good reviews of the controller, the game rival from Sony Microsoft Corporation (NASDAQ: MSFT) plans to add haptic technology to controllers.
Microsoft sent out a survey of the Xbox Console Experience to its users asking about the controllers. The questions ask if the Xbox Series X feels next-gen and if users are aware of the features of Playstation controllers they want to see on Xbox controllers, according to TechRadar.
“I applaud what they did with the controller. I think for all of us in the industry, we should learn from each other and the innovation that we all push, whether it’s the distribution of a business model like Game Pass or the technology. of the controller, ”said Phil Spencer, Microsoft’s vice president of games at The Verge. .
Related Link: Immersion: The Thing Behind The Thing For Playstation 5
Why this is important: Xbox has a habit of adding features well received on other console controllers to its own, IGN points out. The gaming post called the PlayStation 5 controller one of the most impressive features of Sony’s new console, giving it a 9 out of 10 rating.
“Microsoft’s interest in these issues suggests that they are at least considering upgrading next-generation controllers in the future, to align with Sony’s offering in the current generation,” IGN writes.
Haptic technology could be a major theme for video games in the future, as it connects users to games and creates a more interactive experience.
Several 2021 games like “Returnal” and “Deathloop” take advantage of the haptic technology of the PS5 controller and make the game more interactive for users.
Immersion has hinted throughout 2020 that the PlayStation 5’s new controller may lead to additional demand for its patents and products.
“We believe that Sony’s new controller will catalyze increased market demand for advanced interactive haptic experiences and this could lead to additional opportunities for Immersion in the future,” the company said.
And after: Immersion is expected to announce its fourth quarter results in March. The revenue should provide a better overview of the revenue generated by Sony and could provide more color on the amount of Immersion royalties for each PlayStation 5 controller sold.
Immersion reported revenue of $ 7.6 million against a street consensus of $ 7.45 million for the third quarter. The fourth quarter of last year was the most important for the company in terms of sales.
Taking Benzinga: We highlighted Immersion in July and December and mentioned how important the PlayStation 5 inclusion was to the company. The deal with Sony was a major catalyst and the addition of Microsoft could be just as valuable.
Immersion shares closed Thursday up 9.5% at $ 12.08. Shares have risen 46% in the past 52 weeks.
© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
[ad_2]
Source link