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Forums - Gaming Discussion - Lets have a discussion: Multiple sources say SONY's next big grab is Square Enix.

Yeah, I don't understand the "Sony is moving away from Japan" comments. To support this claim, there are two statements I always see, 1.) Sony shut down their Japan studio (which isn't true, as far as I'm aware they restructured it into Team Asobi), and 2.) they aren't sending as many consoles to Japan, why would they? Japan is a significantly smaller market than Europe and N. America for dedicated home consoles so why would Sony focus on what few consoles they ARE able to produce and send them to Japan over other regions?

If anything the second statement lends more reason as to why Sony SHOULD buy Square than the opposite if anything.



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All these studio acquisitions are getting a bit too out of hand
And fans are devolving into the nerdiest w*lly measuring contest.

Sony fans: Well MY console gets final fantasy
M$ fans: Yeah well MY console gets elder scrolls 6
Nintendo fans: hey guys, pokemon.
Sony & M$: no one asked you!



Kneetos said:

All these studio acquisitions are getting a bit too out of hand
And fans are devolving into the nerdiest w*lly measuring contest.

Sony fans: Well MY console gets final fantasy
M$ fans: Yeah well MY console gets elder scrolls 6
Nintendo fans: hey guys, pokemon. Xenoblade
Sony & M$: no one asked you!

Fixed ;)



Bite my shiny metal cockpit!

I absolutely hate that gamers continue to discuss these acquisitions as if they are going to be beneficial for us in the end. The more publishers get purchased by others the worse it will be for gamers and workers alike. The gaming industry is slowly changing for the worst. Maybe it isn't bad today, but it's headed in a bad direction.



Doctor_MG said:

I absolutely hate that gamers continue to discuss these acquisitions as if they are going to be beneficial for us in the end. The more publishers get purchased by others the worse it will be for gamers and workers alike. The gaming industry is slowly changing for the worst. Maybe it isn't bad today, but it's headed in a bad direction.

From what I've gathered, if one company, let's say Sony buys more studios then they get more games which means they get more customers.

If Sony has all the games people want as console exclusives then naturally people will gravitate towards the playstation family of systems which means, people who can only afford one system at a time won't be giving money to other console makers.

Just like with hardcore Microsoft fans they want all games on their platform and not feel any need to buy another one. I've seen so many playstation owners prey this news is true so final fantasy and dragon quest will be "only on playstation" while also getting games like octopath traveller and triangle strategy



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I think Square Enix would fit Sony well.

By merging with Sony, they will have more resources to build their technology base to make their future games shine, Square isn't as industry-leading that it used to be, so the help probably wouldn't go astray.

With all things considered though, the downside is for consumers who buy squares games on other platforms like Switch and Xbox, there is potential that those releases would stop, which is particularly a detriment for Nintendo as they don't get much in the way of 3rd party AAA multiplats to start with.



--::{PC Gaming Master Race}::--

Doctor_MG said:

I absolutely hate that gamers continue to discuss these acquisitions as if they are going to be beneficial for us in the end. The more publishers get purchased by others the worse it will be for gamers and workers alike. The gaming industry is slowly changing for the worst. Maybe it isn't bad today, but it's headed in a bad direction.

Not everyone wants to keep doom gloom posting about these things all the time, because there are actual benefits to acquisitions to all involved parties.

Is this all for the worst? Yeah, maybe. But that's not a guarantee.

Kneetos said:

From what I've gathered, if one company, let's say Sony buys more studios then they get more games which means they get more customers.

If Sony has all the games people want as console exclusives then naturally people will gravitate towards the playstation family of systems which means, people who can only afford one system at a time won't be giving money to other console makers.

Just like with hardcore Microsoft fans they want all games on their platform and not feel any need to buy another one. I've seen so many playstation owners prey this news is true so final fantasy and dragon quest will be "only on playstation" while also getting games like octopath traveller and triangle strategy

Welcome to 1995. 

You're talking a tale that's been true for a very long time.



RolStoppable said:

Kyuu said:

Well, you didn't mention Final Fantasy XIV in the post that preceded mine, so it really looked like nobody was thinking about it.

FF XIV should remain strong for a while longer, because I think there isn't any serious competitor in the making right now. It's even likely that the only game that will replace FF XIV as the go-to MMORPG is its sequel that runs on a more modern engine, so Final Fantasy XVII or whatever S-E chooses to call it.

I am not convinced that buying S-E outright is more profitable than targeted moneyhats in the long run. Many of S-E's big projects suffer from mismanagement that results in development times much longer than their original target, and being under the safe umbrella of SIE may lead to even more prolonged development times because there's less financial pressure to deliver on time.

As for the threat of another platform holder buying them, there's really only Microsoft who would do it, but I doubt they would want to ruin the goodwill they've been able to build in the past few years. Acquiring Square-Enix would put them right back in the place of being the soulless corporation that buys things to lock them away from other platform's fanbases. There's a reason why Microsoft has been so ambigious in response to the question whether PS will lose access to Call of Duty and the like. And the other threat - SE pulling a Konami - is simply unrealistic. Konami has always been a company about more than video games, so video games have not been their core business like it is the case for S-E. The biggest threat that I see is that S-E makes self-destructive business decisions with the pursuit of blockchains and the like, which would devalue the IPs that they have.

Like I said, I put the odds for an acquistion at 50/50. There are reasons why it can make sense for both Sony and Square-Enix, but there are also good reasons for why it is a redundant/unnecessary buyout.

I think SE is making a mistake with their plans to heavily support an already outdated game for the next 10 years, it will be a challenge to maintain such high levels of engagement for the better part of the decade. But maybe the graphics and mechanics updates will be more substantial than I'm expecting. Hopefully I'm wrong but I don't know if we'll hear anything about a proper FFXIV successor until the end of the decade.

MS, Nintendo, Facebook, Amazon, and Tencent are all potential buyers. But all things considered, I agree that Sony doesn't needs to panic yet. Won't be easy for foreign Platform-holders (or potential platform-holders) to acquire a Japanese publisher the size of SE. I doubt the Japanese government would allow that to go smoothly, and chances are Nintendo isn't interested.

By pulling a Konami I meant doing something that effectively kills the SquareEnix we once knew and loved. SE is a shadow of their former selves as is, and things might get uglier via poor management and decisions. Out of "the 3 3rd party Japanese kings" if you will (Capcom, Square, Konami), only Capcom managed to bounce back as a consistent quality company. Konami is practically dead (not as a business, but as a relevant gaming company), and SE's fate is unclear.

I don't see how MS hypothetically acquiring SE would change the gaming community's perception of them. If Zenimax and Activision Blizzard didn't, SE wouldn't either. CoD and other stuff possibly remaining multiplatform would be the result of pressure from regulators, or just MS not wanting to lose the revenue generated from Playstation consoles (skipping PS might lead to huge declines), as opposed to anything relating to their pro-consumer image and whatnot. The countless people who justified the acquisition of Zenimax and AB by blaming it on Playstation's 3rd party exclusives and Sony acquiring 2nd parties and smaller studios won't stop justifying it when MS acquires SE. And it's easier to justify now that Sony acquired Bungie.

Chazore said:
Kyuu said:

I'm by no means an expert on how major acquisitions are handled, but perhaps it can be reasoned that Eidos studios and IP's selling for as cheap as they did is a result of Sony offering to buy SquareEnix at a very high price with the condition of SE quickly selling their western studios so Sony can bypass some FTC complications.

I think it's only a matter of time before Sony starts gobbling up a few Japanese studios (Arc System Works, Kojima Productions, and FromSoftware are other candidates). Then again, the FTC giving Microsoft trouble might have the exact opposite effect of Sony trying to pick up big studios or publishers.

If this does go through, I don't think Nintendo fans have much to worry about. SE could remain semi-autonomous and these smaller 2D/HD2D games, ports, and remasters, will continue releasing on Nintendo platforms, except they wouldn't be exclusive anymore. The few Xbox fans who care about SquareEnix stuff will probably get screwed worse than they already are. And PC will remain king.

I can see DQ12 going timed exclusive on PS5 before getting ported to PC and Switch 2, but even this is unlikely.

Isn't Sony only now just receiving the same investigation from the FTC that MS got? (When Sony bought Bungie).

I can definitely see them buying out some more Japanese studios. Seems like the past few years, 2 of the big 3 have been making consolidation power moves, that and the other publishers have more or less shot themselves in the foot or weakened themselves in some other manner. 

I think when it comes to SE in general, Xbox fans get screwed almost all the time. I remember during 7th gen they got a lucky break by getting that one exclusive game from SE (the name escapes me atm), and then after Sony came back strong near the end of that gen, SE sided with them again and it's been like that since (of course with Ninty getting some love on the side as well). 

Not sure about their PC side though, as their ports are middling at best, and their newfound focus on upping the prices doesn't exactly sound enticing on PC. It more or less paints a picture that SE care greatly for Sony, with Nintendo in 2nd, PC a distant third and Xbox dead last. 

But that's on them really, the other markets are viable and exist to pander to, but I guess SE only cares about 1 & 1/2 of the entire market.

Yes Sony is going through similar investigations, hence buying Crystal Dynamics at this time could have been a bad move (for both Sony and MS). I'm assuming there wouldn't be as many complications with the FTC if the company in question is Japanese.

PC being a bigger player than it has ever been and the growing base of Japanese-game fans on PC will naturally compel SquareEnix to improve their support and optimization for the platform. SE's biggest game plays best on PC (FFXIV). And if we're counting ports, then PC is already THEE place to play SquareEnix games coz it keeps getting games that usually skip one or two of the 3 consoles. It's pretty much the only place where you can play almost any SquareEnix game. A notable advantage.

Last edited by Kyuu - on 08 May 2022

Sony really needs this! Because Microsoft got away with Activision Blizzard and Bethesda/Zenimax, Sony needs their own power play in acquisition wars. Phil Spencer said he's not done? Is Sony just gonna take the acquisition beatings which is uncalled and Sony only having Bungie which is a single developer any fair? Square is perfect for Sony.



Cute and honest Sega Saturn fan, also noone should buy Sega grrrr, Sega for life.

twintail said:
Doctor_MG said:

I absolutely hate that gamers continue to discuss these acquisitions as if they are going to be beneficial for us in the end. The more publishers get purchased by others the worse it will be for gamers and workers alike. The gaming industry is slowly changing for the worst. Maybe it isn't bad today, but it's headed in a bad direction.

Not everyone wants to keep doom gloom posting about these things all the time, because there are actual benefits to acquisitions to all involved parties.

Is this all for the worst? Yeah, maybe. But that's not a guarantee.

Most people aren't "doom gloom" posting. Most people I see here and on other threads are acting like this is a beneficial thing for gamers. Also, the benefits are unlikely to outweigh the very real detriments. In the last four years Sony and Microsoft have made almost as many studio purchases as they have in the twenty five years leading up to these purchases. Then there is Tencent who has purchased something like 40 studios in the last four years. Embracer Group who has purchased over 70 video game studios. Then we have the consolidation of publishers with MS, GungHo, EA, and Tencent all purchasing multiple publishers. Now people want Sony to buy up even more developers and publishers. Some may claim it's a "fight fire with fire" type thought, but that isn't going to be beneficial for us as consumers. We also see time and time again how mass consolidations and oligopolies reduce worker compensation and lead to worse working conditions (which video game publishers are already bad at). 

So...yeah I'm sticking with the doom gloom for right now. I can see the direction it's heading and I don't like it. I'm not just going to sit back and not voice my opinion on it. MAYBE it wont happen, but I find it doubtful. This is not the only market that this has happened to, unfortunately.