Final Fantasy XIV popularity may explain why Square Enix sold western studios: To say that Final Fantasy XIV is popular and successful would be an understatement. Square Enix’s commercial success in 2021 has attribute to the MMO.
We can see how significant Final Fantasy XIV is to the company’s entire business strategy now that the fiscal year 2022 figures are out. It’s clear why Square sold its western studios after its performance from April 2021 to March 2022.
According to the financial figures (via GI.biz), net sales increased by about 10% to 354 billion (a little more than $2.7 billion). Overall, that’s a positive thing, but MMOs like Final Fantasy XIV are to blame.
Square attributes the growth to an increase in subscribers and the introduction of the Endwalker expansion last November.
Final Fantasy XIV popularity may explain why Square Enix sold western studios
However, the tale is different when it comes to other games. “Net revenues declined against the prior fiscal year,” according to Marvel’s Guardians of the Galaxy, Nier Replicant, and Outriders.
Only Nier is an in-house game; Guardians of the Galaxy create by Eidos Montreal, while People created Outriders Can Fly, a Polish company.
That’s not to say the games weren’t still profitable. But when you compare the “net sales drop” to Final Fantasy XIV’s massive popularity. It’s easy to understand why Square would want to cut the fat.
In early May, Embracer Group purchased Eidos Montreal, Square Enix Montreal, and Crystal Dynamics. Although the reason for their sale was not stated, the data allowed us to draw an informed judgment.
Because Square has previously disparaged Crystal Dynamics and its Tomb Raider trilogy, the deal can only benefit all parties concerned.
In terms of Square Enix’s future, the company’s president has doubled down on blockchain technology, citing user-generated content as a reason to explore NFTs.
Most people would want to see more emphasis on game development. Such as the Tactics Ogre: Reborn trademark that recently register in Japan.