Streaming giant Netflix Inc
What Happened: Netflix ended the first quarter with 269.9 million paid subscribers and has been expanding its video game efforts for years.
The streaming giant is teaming up with Roblox with the launch of Nextworld, a new hub inside the gaming platform.
"You can now explore your favorite movies and shows in 3D interactive spaces with the early access launch of Netflix's universe on Roblox, Netxtworld, on May 9," Netflix said.
Netflix called Nextworld "a digital theme park full of characters, Easter eggs, and games."
The new gaming hub features immersive games based on "Stranger Things," "One Piece" and "Rebel Moon."
Games also include content based on shows like "Is It Cake?" and "Cobra Kai."
Gamers can collect objects and wearables from Netflix shows and movies and decorate their own "Fan Pod." The company also said there would be premieres and viewing parties along with "daily content bites" at the Tudum Theater.
Another event will center on the Netflix series "Jurassic World: Chaos Theory," which arrives on May 17.
In a tweet, Roblox highlighted the partnership with Netflix as representative of an iconic duo, similar to peanut butter and jelly.
"With the launch of Netflix Nextworld, fans can immerse themselves in new worlds filled with their favorite shows and characters like never before," Roblox tweeted.
Why It's Important: Roblox is no stranger to partnering with top brands and the new digital area from Netflix could help with engagement.
Roblox ended the first quarter with average daily active users of 77.7 million, which was up 17% year-over-year.
Guidance from Roblox for the second quarter came in below estimates from analysts, sending shares down on Thursday.
More partnerships like the one from Netflix could help Roblox show its dominance with the younger age demographics and being the platform of choice to highlight upcoming shows, movies and events.
RBLX Price Action: Roblox shares are up 2% to $31.15 on Friday versus a 52-week trading range of $24.88 to $47.20.
