Square Enix is rebooting itself, “aggressively” pursuing a multiplatform strategy that includes PlayStation, Xbox, Nintendo and PC in the process. This comes from the company’s latest financial earnings ReportIt outlines Square Enix’s three-year reboot plan for long-term growth.
Within that three-year reboot plan, Square Enix lists four pillars:
- Increase productivity by optimizing the development footprint in the Digital Entertainment (DE) segment
- Diversify earning opportunities by strengthening customer touch points
- Formulate initiatives to create additional grassroots stability
- Strike a balance between shareholder return and growth investing when allocating capital
As part of this plan, Square Enix will “aggressively pursue a multiplatform strategy that includes Nintendo platforms, PlayStation, Xbox and PC,” according to the financials. Report. “Especially for major franchises and AAA titles, including catalog titles, this creates an environment where more consumers can enjoy these titles,” it continues, pointing to future multiplatform releases for Final Fantasy games and more.
This strategy switch-up follows reports that Final Fantasy VII Rebirth, the PlayStation 5-exclusive RPG that launched in February, underperformed; Final Fantasy VII Rebirth follows its predecessor, Final Fantasy VII Remake, which launched exclusively on PlayStation 4 in 2020, and Final Fantasy XVI, which hit PS5 last year (which is set to release on PC in the future).
Square Enix also says it will “formulate a platforms strategy for SD (smart devices / PC browser portfolio) that includes not only iOS and Android but also the possibility of PC launches. It continues, “Furthermore, the group strives to maximize. Acquiring new users when launching a title and acquiring recurring users after launching game operations management.”
Throughout the financial report, Square Enix uses the word “fun” as a focus for the future development of its games. It says it wants to focus on development of titles that “offer the ‘fun’ that only (Square Enix) can create and build.”
In terms of numbers, Square Enix’s net sales rose 3.8% year-over-year to $2.28 billion this year, with digital entertainment sales up 2.5% to $1.59 billion. However, its operating income — $209 million — was down nearly 27%.
These numbers and the subsequent shift in strategy aren’t surprising, considering that in late April, Square Enix canceled some of its development games as “more selective and focused,” which lines up with its new philosophy. This means we’ll see more titles like Dragon Age XI, Final Fantasy XVI, and Final Fantasy VII Rebirth on different platforms, and less games like Foamstars and DioField Chronicle. Only time will tell though, and Square Enix thinks it will take three years to reboot this company.
For more, read on Game Informers Final Fantasy VII Rebirth review, and then read on Game Informers Final Fantasy XVI Review. After that, read about Final Fantasy XIV’s upcoming Dawntrail expansion, which is coming out this July.
What are your thoughts on Square Enix’s new strategy? Let us know in the comments below!