Final Fantasy Maker Square Enix Will Aggressively Pursue a Multiplatform Strategy After Profits Tumble
Square Enix has announced a significant company reboot amid tumbling profits.
Reporting its financial performance for the financial year ending March 31, 2024, sales in the Digital Entertainment segment, which includes video games, rose by 2.6% but profit fell by 15.8%. This despite the sale of Final Fantasy 16, Final Fantasy Pixel Remaster, Foamstars, and Final Fantasy 7 Rebirth. Specifically on HD games, the subcategory Square Enix uses to encompass all the above games, the company saw a significant operating loss of ¥8.1 billion (approximately $51.9 million).
Final Fantasy 16 and Final Fantasy 7 Rebirth both launched as PlayStation 5 exclusives, and while Square Enix has announced a sales figure for Final Fantasy 16, it has yet to do so for Final Fantasy 7 Rebirth, the second game in the company’s trilogy of Final Fantasy 7 remakes. In its financial report, all Square Enix would say is it has suffered from an “incomplete journey to better profitability in HD game development”, and that it had “launched many titles but some failed to live up to profit expectations, especially outsourced titles and some AAA titles.” It seems likely Final Fantasy 7 Rebirth, at least, is included in that.
In response to the tumbling profits, Square Enix announced what it calls “Square Enix Reboots, and Awakens”, a three-year plan for rebooting for long-term growth. This involves a rethink across all parts of the business, but the highlight is a “shift to a multiplatform strategy." Square Enix said it will “aggressively pursue a multiplatform strategy that includes Nintendo platforms, PlayStation, Xbox, and PCs.” Note the wording here of “Nintendo platforms”, with Nintendo set to announce its Switch successor console before April 2025.
As part of this multiplatform push, Square Enix said it will "build an environment where more customers can enjoy our titles in regards to major franchises and AAA titles including catalog titles." The suggestion in all this is mainline Final Fantasy games
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