Square Enix is already focused on Japan after the sale of Crystal Dynamics, Eidos Montreal and Square Enix Montreal.
Yesterday we again had a very busy start of the month, with the purchase of three studios by Embracer Group. Crystal Dynamics, Eidos Montreal and Square Enix Montreal will no longer be part of Embracer Group. Square Enixbut will join the Swedish conglomerate in a transaction closed by 300 million dollars which the Japanese company has received with open hands.
With the acquisition of these studios, more than 50 intellectual properties come under the umbrella of Embracer, which plans to begin releasing new triple-A games from these studios within two years.. Therefore, fans have begun to speculate on the possibility of seeing new titles in the Deus Ex saga and even Legacy of Kain, both of which were constantly mentioned in the press release announcing the transaction.
Embracer acquired 22 companies last year alone.Embracer itself unveiled its intentions at a conference following the announcement of the acquisition, something that is quite common if we consider that acquired 22 companies last year alone. The Swedish giant is getting bigger and bigger, and its CEO Lars Wingefors has assessed the latest deal as a good opportunity.
In fact, and as we read in Axios, Wingefors has stated that. in other circumstances the figure would have been differentThe company has taken advantage of a delicate moment for Square Enix to obtain three studios and numerous IPs at a very low price compared to other previous operations in the sector.
At Embracer they believe that the developments that can be carried out by the three studios will be reflected in high profits in the years to come, and they even think they can reach agreements with PlayStation or Xbox to boost earnings concerning new projects even more.
Why has Square Enix sold?
Beyond Embracer’s plans, Stephen Totilo wanted to shed more light on the reasons why Square Enix has sold Three of its most reputable Western studios. It claims the studios generated 200 million in revenue last year, but less than 8 in operating income.
Square Enix has not benefited from Marvel deals.Alongside this, it is worth noting that. the agreements with Marvel have not been beneficial and, although Avengers and Guardians of the Galaxy have been better received as the months have gone by, they have not been the step forward they had hoped for. David Gibsonan analyst with MST Financial, goes further and asserts that have lost 200 million with these projects.
The company will now focus its efforts on the Japanese developments and on new business opportunities. such as blockchain, artificial intelligence or the goodness of the cloud. Looking ahead to Embracer’s new projects, we have compiled six sagas that we would like to see back after the acquisition of Crystal Dynamics, Eidos Montreal and Square Enix Montreal.
