Log in

View Full Version : Square enix in trouble


the_tyrant
03-26-13, 10:36 PM
Well, square enix isn't in good shape. They just posted record losses, and the CEO is stepping down.

Today, they just announced sales numbers for their western games:
http://www.eurogamer.net/articles/2013-03-26-tomb-raider-has-sold-3-4-million-copies-failed-to-hit-expectations


EA once said that for its average game, 1 million is the "has potential" point. AKA, if you put in top notch effort, rock star developers, 1 million sales gets you a good start (not profiting yet, you probably need to follow up with DLC or expansion packs to profit). 2 million means you are making a healthy game, with a profit now (most games that don't sell 2 million get second tier talent, or outsourced). 3 million is blockbuster, great sales.

Most games don't have a ridiculous development budget, since for the most part use an established engine. Often, many games would share an engine, to reduce development costs and complexity. After all, top notch engine developers go for 100000 - 200000 + per year, and you will need teams of them. However, this year, all 3 of square enix's major western titles are built from the ground up, taking an astonishing amount of developmental effort.


As we can see here on the western side, Sleeping dogs probably was the game dragging down the sales numbers. Yes, it took a LOT of money to make Hitman and Tomb Raider. but with those sales numbers, they should have easily broken even.

Sleeping dogs on the other hand, must have been very expensive to develop (they got some of Hong Kong's top action stars to voice act and motion capture, plus this is a brand new IP with new engine). They probably lost money on that.


But we are still avoiding the elephant in the room. Truth is, Square Enix's Japanese efforts are probably imploding. Final Fantasy 14 is a black hole, and their other Japanese efforts are also failing.

Still, I enjoyed Sleeping Dogs, Hitman Absolution, and Tomb Raider. They are bloody good games, and I can easily recommend them to anyone.

Good Luck next year Square Enix!

PS: noticed how of the 3 games, Hitman Absolution did the best? This means that bald protagonists sell games:stare: Quick, give Wei Shen and Lara Croft hair cuts!

Oberon
03-26-13, 10:44 PM
I'm not that surprised. The Square side of Squenix has gotten very lazy of late. Rehashing the same Final Fantasy game over and over, and trying desperately to milk Final Fantasy 7 for all its worth through prequals and sequals when all that the fans really want is a remake with modern graphics.
If they did that, remade seven with new graphics, reorchestrated music (with Uematsu on board to make sure it stays true to the original), then they'd easily get back in the black. Virtually overnight.
But, no, at the moment they're rehashing Thirteen (I think it's 13, the one with Lightning in it) over and over again, when no-one really likes it.

So, come on Squenix, you've remade 1 through 6. Give 7,8 and 9 a revamp, but do a proper job, make it extra special...and your budgetary problems will be solved.

You don't need to be a financial adviser to know that. :03:

Red October1984
03-26-13, 10:56 PM
Square Enix published Dead Island....

Will this have any adverse effects on Dead Island Riptide, I wonder? :hmmm: