Sony: Corporate Strategy Meeting 2024.5.23 | Business Segment Meeting

mibu no ookami

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All at the same time unrealistic, but not if it's only one of them. I could definitely see Sony trying to get Square or Sega. Both have synergies in common.

Square is a really bad purchase. I know why people keep bringing it up, but it makes really very little sense for Sony. Sony already has quite a few Square games exclusive and they're not performing overly well at that. What exactly do they gain by buying Square Enix right now?

That just maintains the status quo and doesn't really sell more PlayStation consoles or improve their software lineup. Doesn't massively improve their PC strategy either. Probably helps most with Mobile.

CDPR, Capcom, Sega, are all better buys.
 

anonpuffs

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I don't think sega would be a good buy, they're always making horrendous business decisions and their one actually valuable IP (sonic) isn't strong enough to command the asking price. The rest of their lineup aren't system sellers, even if they do make good games.
 
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Eternal_Wings

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Square is a really bad purchase. I know why people keep bringing it up, but it makes really very little sense for Sony. Sony already has quite a few Square games exclusive and they're not performing overly well at that. What exactly do they gain by buying Square Enix right now?

That just maintains the status quo and doesn't really sell more PlayStation consoles or improve their software lineup. Doesn't massively improve their PC strategy either. Probably helps most with Mobile.

CDPR, Capcom, Sega, are all better buys.
Square Enix lacks quality control and a direction. They have been lost for more than over a decade. Simple why Sony would go for SE, is because they do care more about Final Fantasy than any other Japanese AAA franchise. It's not only the video game franchises which would make PlayStation portfolio more attractive, it's the overall synergies across the entire Sony Corp.
They would gain access to Gangan Comics valuable IPs. Would be a prestigious get for Sony's Anime ambitions. Would save them tons of licence fees to adapt Manga to Anime productions. Also Sony wants to become a bigger player for Mobile Gaming, Square possesses the experience. Last but not Sony has sheer knowledge to improve companies. With Sony's quality management and Square Enix drove of talent, they could achieve new heights in Japan and overall globally. We just need to connect the dots, then you will see how much cash Sony invests in Square Enix aside Gaming. They have partnerships for contracting their music labels, partnership for their electronic products etc. In my opinion Square Enix would be the cheapest and the most logical step to choose them over all other mentioned companies.
 

mibu no ookami

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21 Feb 2024
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Square Enix lacks quality control and a direction. They have been lost for more than over a decade. Simple why Sony would go for SE, is because they do care more about Final Fantasy than any other Japanese AAA franchise. It's not only the video game franchises which would make PlayStation portfolio more attractive, it's the overall synergies across the entire Sony Corp.
They would gain access to Gangan Comics valuable IPs. Would be a prestigious get for Sony's Anime ambitions. Would save them tons of licence fees to adapt Manga to Anime productions. Also Sony wants to become a bigger player for Mobile Gaming, Square possesses the experience. Last but not Sony has sheer knowledge to improve companies. With Sony's quality management and Square Enix drove of talent, they could achieve new heights in Japan and overall globally. We just need to connect the dots, then you will see how much cash Sony invests in Square Enix aside Gaming. They have partnerships for contracting their music labels, partnership for their electronic products etc. In my opinion Square Enix would be the cheapest and the most logical step to choose them over all other mentioned companies.

Square Enix has a market cap of 4.44 billion USD and has lost nearly half its value since 2021.

Capcom has a market cap of 9 billion USD and has more than doubled its value since 2020. It would only go up with a SIE lead Mega Man franchise and the remakes of Devil May Cry, Onimusha, and DinoCrisis using the RE engine. Not to mention the continued success of Resident Evil and Street Fighter and the transmedia opportunities there.

CDPR has a market cap of 2.85 billion USD and has a PC launcher, Witcher 4, Witcher 1-2 and maybe even 3 remakes on the pipeline, as well as Cyberpunk 2077 and will eventually probably have Witcher Online and Cyberpunk Online GaaS games. They are substantially more valuable than Square Enix.

Sega has a market cap of 3.14 billion and immediately gives you Sonic, Persona, Virtua Fighter, and Yakuza. Tons more transmedia opportunities than Square Enix for significantly less money.
 

Eternal_Wings

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Square Enix has a market cap of 4.44 billion USD and has lost nearly half its value since 2021.

Capcom has a market cap of 9 billion USD and has more than doubled its value since 2020. It would only go up with a SIE lead Mega Man franchise and the remakes of Devil May Cry, Onimusha, and DinoCrisis using the RE engine. Not to mention the continued success of Resident Evil and Street Fighter and the transmedia opportunities there.

CDPR has a market cap of 2.85 billion USD and has a PC launcher, Witcher 4, Witcher 1-2 and maybe even 3 remakes on the pipeline, as well as Cyberpunk 2077 and will eventually probably have Witcher Online and Cyberpunk Online GaaS games. They are substantially more valuable than Square Enix.

Sega has a market cap of 3.14 billion and immediately gives you Sonic, Persona, Virtua Fighter, and Yakuza. Tons more transmedia opportunities than Square Enix for significantly less money.
That's cope dude. Sega has good game franchises but Square Enix IPs like FF, DQ, KH and Nier have much more broader media appeal.
 
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mibu no ookami

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That's cope dude. Sega has good game franchises but Square Enix IPs like FF, DQ, KH and Nier have much more broader media appeal.

The Sonic 2 movie did 400 million worldwide at the box office...

Final Fantasy is waning in popularity. Dragon Quest is more popular on Switch. Disney owns Kingdom Hearts... Nier? Really?

Persona is growing in popularity, a higher budget anime tie in would make it explode. Yakuza could definitely do well with transmedia. I could see a show very similar to Bloodhounds.

Sonic by Insomniac would do really well.

Virtua Fighter would plug right into Evo.

I'd rather pump money into Phantasy Star than a declining Final Fantasy, as I mentioned you get way more with Sega than S-E and you get it for cheaper.
 

Impulse

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People suggesting Square Enix as a takeover target need to realize that when you takeover a company, you also take over their problems while adding in your acquisition costs.

Their biggest brands are Final Fantasy, Dragon Quest and Kingdom Hearts.

Final Fantasy is basically the Sonic of JRPGs, that is to say, the brand's past and present titles are perceived so differently by each segment of its fanbase, which makes it basically impossible to market any new titles to the entire fanbase at once. EDIT: Watch this video about Sonic and apply it to FF.

Dragon Quest is only really popular in Japan (a market where Switch is king, and a market where the population is declining overall), and it's facing strong headwinds now that Toriyama has passed.

Kingdom Hearts has become utterly confusing to new entrants, and requires negotiation with Disney to produce anything with the name on it.

The worst part? All 3 brands are actually competing for the same audience (JRPG fans)! So not only would a prospective buyer have to worry about competition from elsewhere (Sega has been dominating this segment of the market, especially now that Yakuza has branched out there), they also have to worry about competing with themselves too.
 
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The Sonic 2 movie did 400 million worldwide at the box office...

Final Fantasy is waning in popularity. Dragon Quest is more popular on Switch. Disney owns Kingdom Hearts... Nier? Really?

Persona is growing in popularity, a higher budget anime tie in would make it explode. Yakuza could definitely do well with transmedia. I could see a show very similar to Bloodhounds.

Sonic by Insomniac would do really well.

Virtua Fighter would plug right into Evo.

I'd rather pump money into Phantasy Star than a declining Final Fantasy, as I mentioned you get way more with Sega than S-E and you get it for cheaper.

Eh, Final Fantasy I don't think is "waning" because that's something natural or anything. SE have been inconsistent with creative direction for the IP since XIII and over time, more disgruntled hardcore fans have eased back with new entries. XV was originally supposed to be released on PS3/360 as an expansion, then got delayed many years for 8th-gen with design choices not everyone gelled with. XVI made some design choices that were divisive with the fanbase in spite of its quality. VII Remake made some design choices that were alienating towards some diehard fans of the original game, which might've affected uptick for Rebirth.

If SE can establish core design elements for mainline FF games going forward while just changing a couple things here or there at most, and also maybe tie games into one another in a more directly-noticeable shared universe way (plus maybe casts that skew a tad younger & add a bit more modern flair to classical fantasy stylings), those changes alone would see the IP grow again by leaps and bounds.

As for SEGA, yeah they do have some synergetic IP that could satisfy itches for specific areas of expansion SIE are interested in but...why is everyone talking about M&As here? Has there been some news on that front, or we just speculating?
 

Eternal_Wings

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People suggesting Square Enix because it’s the obvious choice. Also that argument „If you buy a company, you also take over their problems“ is utter nonsense. There is no company in the world which has not its issues or debts. This is normal. That’s why a bigger corporation buys a smaller company to improve them, because they see potential in growth. I am not confirming that Sony will definitely buy them, but we are speculating and in case of opportunity Sony will choose Square Enix over Sega or any other company. Capcom and Namco I don’t need to mention, because way to unlikely and expensive. Prove me wrong or did we ever have an exclusive Sonic game on PS? Also in case Sony acquires Sega, would also be a good investment. Thou I prefer Square Enix for several reasons. Just my humble opinion.

@thicc_girls_are_teh_best It’s speculation at best. But there is also a rumour since last year. It’s rumoured that Sony will have a big acquisition in Q1 (April to June). It’s also worth mentioning, it’s the biggest acquisition they ever had. Means practically bigger than Bungie in terms of value. Target of M&A shall be based in Japan. It doesn’t need to be Square, could be Nexon, Sega. Just saying this is a consistent rumour. Credible leaker Navtra backed this rumour.
 
24 Jun 2022
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People suggesting Square Enix because it’s the obvious choice. Also that argument „If you buy a company, you also take over their problems“ is utter nonsense. There is no company in the world which has not its issues or debts. This is normal. That’s why a bigger corporation buys a smaller company to improve them, because they see potential in growth. I am not confirming that Sony will definitely buy them, but we are speculating and in case of opportunity Sony will choose Square Enix over Sega or any other company. Capcom and Namco I don’t need to mention, because way to unlikely and expensive. Prove me wrong or did we ever have an exclusive Sonic game on PS? Also in case Sony acquires Sega, would also be a good investment. Thou I prefer Square Enix for several reasons. Just my humble opinion.

@thicc_girls_are_teh_best It’s speculation at best. But there is also a rumour since last year. It’s rumoured that Sony will have a big acquisition in Q1 (April to June). It’s also worth mentioning, it’s the biggest acquisition they ever had. Means practically bigger than Bungie in terms of value. Target of M&A shall be based in Japan. It doesn’t need to be Square, could be Nexon, Sega. Just saying this is a consistent rumour. Credible leaker Navtra backed this rumour.

TBF the Paramount rumors are floating around ATM too so "Sony"s biggest M&A yet could not even be really gaming-related.

Personally I'd rather a big gaming M&A from them if were forced to choose between that or something like Paramount, but then again I usually try avoiding M&A speculation in general.
 
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mibu no ookami

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Eh, Final Fantasy I don't think is "waning" because that's something natural or anything. SE have been inconsistent with creative direction for the IP since XIII and over time, more disgruntled hardcore fans have eased back with new entries. XV was originally supposed to be released on PS3/360 as an expansion, then got delayed many years for 8th-gen with design choices not everyone gelled with. XVI made some design choices that were divisive with the fanbase in spite of its quality. VII Remake made some design choices that were alienating towards some diehard fans of the original game, which might've affected uptick for Rebirth.

If SE can establish core design elements for mainline FF games going forward while just changing a couple things here or there at most, and also maybe tie games into one another in a more directly-noticeable shared universe way (plus maybe casts that skew a tad younger & add a bit more modern flair to classical fantasy stylings), those changes alone would see the IP grow again by leaps and bounds.

As for SEGA, yeah they do have some synergetic IP that could satisfy itches for specific areas of expansion SIE are interested in but...why is everyone talking about M&As here? Has there been some news on that front, or we just speculating?


Let me let you in on a secret here. All the talent that made the great SNES and PS1 games are long gone. It's not the same company. So people waiting for them to get managed back into shape are holding their breath for nothing. The people who are even still there are largely there in executive roles rather than actual development and those that are still in actually development like nomura who gets to direct games, aren't actually good at directing games.

Koichi Ishii? Gone
Yasumi Matsuno? Gone
Tetsuya Takahashi? Gone
Masato Kato? Gone
Hiromichi Tanaka? Gone
Akihiko Matsui? Gone