| KillerMan said: And? I really can't see how this differs from western companies. THQ, EA and TakeTwo have all posted red figures lately. Konami and Capcom at least make profit and I don't have to mention Nintendo... |
The situation is very different.
Publishers like EA and Take 2 are working in a growing market. Their revenues keep climbing, it's just that their costs are out of control, so they post a loss. They'll be fine as soon as they figure out how to bring their costs in line with their revenues.
Publishers like Koei and Tecmo are working in a shrinking market. Their cost problems aren't so bad, but their revenues are drying up, forcing them to keep cutting costs and driving down the quality of their games, which in turn reduces interest in their titles. They need to break out of Japan or they are going to starve to death.
I don't know why Square is being put in the same boat as other Japanese publishers. They have a good reputation and recognizable IPs in the West, and they just bought up Eidos for even more Western studios, IPs and distribution. They're well-positioned to grow outside Japan.
"The worst part about these reviews is they are [subjective]--and their scores often depend on how drunk you got the media at a Street Fighter event." — Mona Hamilton, Capcom Senior VP of Marketing
*Image indefinitely borrowed from BrainBoxLtd without his consent.
