The lights are on
Square Enix president and CEO Yoichi Wada has stepped down in the wake of a disappointing fiscal year forecast, lower-than expected sales of some of its big hits, and a changing industry environment. A major restructuring is now underway.
Wada's departure still has to be ratified via a shareholder's meeting in June and a subsequent board of director's meeting according to Joystiq, but with a forecast for the current fiscal year ending on March 31 of a 13 billion yen loss (approximately $138 million) – a turnaround from the originally expected 3.5 billion yen profit – the die is cast.
The company's revised forecast is being blamed on the lower-than-expected sales of Tomb Raider, Hitman: Absolution, and Sleeping Dogs in the west, and the subsequent company reorganization that is currently taking place is being put on the books this fiscal year, according to Gamasutra.
How "weak" were the sales of those games? By the end of March, Square Enix estimates that in North America and Europe, Tomb Raider will have sold 3.4 million units, Sleeping Dogs 1.75 million, and Hitman: Absolution 3.6 million. None of those figures includes downloadable sales. Tomb Raider, by the way, has been on shelves less than a month.
No word on exactly what Square Enix was expecting these games to sell.
[via Gamasutra and Joystiq]
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Years of poor games and death of the Final Fantasy franchise has ruined Square-ENIX's name. Not to mention the large sink-hole that FF XIV currently is.
Industry bloat, industry bloat everywhere. For all those useless 'pretty graphics' and 'set pieces' we now can't even afford to make games anymore.
Don't worry, once this industry crashes again the indi devs will be the only game in town for a while, and we can start from a new with them. None of this billion dollar game crap that give us lukewarm experiences at best. Then we can enjoy gaming for a while longer until it gets too big again and we can start the cycle all over again.
Yes, we're in the Matrix.
Whiney babies if you ask me. Ps.all three were great in my opinion.
I preordered and loved Hitman and Tomb Raider. I also bought and enjoyed Sleeping dogs. If they kill the Hitman franchise because of "poor" sales, I might actually cry.
Maybe the next exec will come in and bring SquareEnix back to their roots: High quality RPGs (and other genres) that focus on gameplay and story first and foremost and stop whoring out their flagship franchise to half-assed production efforts on mobile platforms. Imaginative worlds filled with beautiful graphics don't need to be 8 million dollar budgets with motion capture actors & studios, etc. The industry just needs to take a look at what UBI did with Rayman. The incredibly imaginative, beautiful worlds all illustrated by a team the fraction of the size of Square Enix's latest FF games and Tomb Raider for that matter. Cut the fat, cut the expense, focus on what makes a beautiful game to look at and play. Chrono Trigger and Secret of Mana are still two of the most beautiful and most enjoyable games to play at 20 years old! Square is not even a shell of excellence that it was in the 8/16/32 bit years.
Oh no it didnt sell Call of Duty numbers. These games are failures then....
Get your head out of your ass, square enix geez
I hope this doesn't signal a dramatic change in future games. TR, Hitman, and Sleeping Dogs were some of the best games I played in the last year
Maybe if they gave it a little more time.
Does seem like a case of overblown expectations, but I guess I could where predicting how Tomb Raider (reboot of beloved franchise) and Hitman (long awaited next installment in series with avid fan base) would sell would be difficult.
This is a real shame though, because all three of those games are quite good- and almost more importantly, relatively unique gameplay/ story wise.
Tomb Raider is amazing and I am sure it will sell better as word of mouth spreads. My friend let me barrow Sleeping Dogs and its pretty fun too.
Wow, very surprised. They must have had very high projections and high budgets for those games in order to sell that many units and still lose money. This is very sad, and I hate to see Wada step down :/
That sucks. Best of luck to Mr. Wada in the future.
I thought all three of those titles sold very well.