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Report: Square Enix Seeks Expansion Outside Games

Report: Square Enix Seeks Expansion Outside Games

May 25, 2006 | By David Jenkins

Despite announcing a 14 percent rise in profits in his company’s recent yearly financial results, Square Enix president Yoichi Wada has stated that the publisher plans to increase its non-gaming activities, following a failure to expand its current portfolio of games titles.

Speaking to Nikkei Net, Wada complained that the company had failed to create any significant new franchises outside its core Final Fantasy and Dragon Quest series. "We haven't come up with hit software to follow in the footsteps of Final Fantasy and other major titles, so we will have to alter our strategy, he said. “It's getting hard to maintain a flow of new game titles. We need a more comprehensive software business to develop synergies.”

Wada identified recent acquisition Taito’s arcade and mobile business as an obvious area of expansion for the company’s business. He also referred to Square Enix’s recent partnership with Matsushita to create GUI and networking solutions for the electronics manufacturer’s entertainment products.

Other recent expansions for the company have included the formation of a new media company with digital content solutions provider Faith, the creation of a serious games subsidiary with book publisher Gakken and the creation of Pokémon related mobile phone applications for Nintendo.

Curiously, the company’s attempts to create major new franchises have not generally extended beyond the role-playing titles the publisher is traditionally known for, despite attempts to diversify at the beginning of the previous generation with titles such as beat ‘em-up The Bouncer and racing game Driving Emotion Type-S.

Little has been shown of the company’s next-generation plans, though, beyond the confirmation of Final Fantasy XIII for the PlayStation 3 and Final Fantasy and Dragon Quest spin-off titles for the Wii.

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