Square Enix has announced the opening of its new Japanese mobile gaming development studio, Hippos Lab.
The wholly-owned subsidiary, launched on March 7, is looking to provide "high quality original content focusing on smart phones".
The company notes that the popularity of the smartphone "has exploded in recent years," and it believes that "the smartphone will run away with the show." Hippos Lab aims to have its first release "ready soon."
Square Enix revealed
earlier this month that it is also looking to set up a second Canadian development team in either Vancouver, Montreal or Toronto.
A representative from Square Enix said that the decision will be made in May as to which city the new Canadian development house will settle down in, with the new studio opening sometime next year.
The company also announced last week that it had canceled
Xbox 360 exclusive action shooter Gun Loco
, a deadly run and gun shooter. No reason was given for the cancellation.