Renowned game developer and publisher Square Enix is facing hardships in the stock market as its stock price has dropped following the release of Final Fantasy XVI. Despite receiving strong reviews from critics, the game failed to meet the company's sales expectations. The PlayStation 5 exclusivity may have been a contributing factor to its underperformance. As a result, Square Enix is now working to bring the game to PC and strengthen its relationship with Microsoft's Xbox.
The performance of Final Fantasy XVI was particularly important for Square Enix following the disappointing launch of Forspoken earlier in 2023. Additionally, the publisher has released several smaller games recently that have not achieved significant success.
Industry experts have criticized Square Enix for their game output, describing their titles as forgettable and lacking in quality. Bloomberg's sources within Square Enix blamed the reliance on producers, who are given complete control of game projects to the detriment of their successes.
Investors have a bleak outlook for the company, expressing concerns about the game development structure and quality control. However, the newly appointed CEO Takashi Kiryu is focused on addressing these issues. Square Enix plans to decrease the number of smaller games and prioritize its biggest franchises to improve profitability.
Looking ahead, Square Enix has two highly anticipated releases in the pipeline. Final Fantasy VII Rebirth is scheduled for early 2024 on PlayStation 5, while Dragon Quest XII: The Flames of Fate, announced in early 2020, does not yet have a release date.
In summary, Square Enix is facing challenges in the stock market following the release of Final Fantasy XVI. The company is taking steps to address these issues and improve its game development structure. Despite setbacks, Square Enix has upcoming releases that are highly anticipated by fans.
– Bloomberg: https://www.bloomberg.com/
– Metacritic: https://www.metacritic.com/
– Kantan Games: https://www.kantangames.com/
– Macquarie Capital Securities Japan: https://www.macquarie.com/jp/en/
– UBS Securities: https://www.ubs.com/jp/en/home.html