Square Enix intends to boost its development capabilities by establishing new studios after it chose to sell three key studios to Embracer Group.
Detailing its medium-term business strategy as part of its fiscal results briefing session for the financial year ended March 31, 2022, the Japanese publisher said it wants to "cultivate robust IP" -- including the creation of new franchises -- and expand its production capabilities by forming new studios and pursuing M&A opportunities.
The company also wants to enhance its global publishing functionalities by appointing a chief publishing officer and streamlining decision-making through "integrated group management."
It's hardly surprising to see a major company outline plans to establish new studios, although Square's announcement comes just weeks after it sold Crystal Dynamics, Eidos-Montreal, Square Enix Montreal, and major franchises like Tomb Raider and Deus Ex to Swedish company Embracer Group for $300 million.
At the time, Square said the deal would provide an opportunity to "better align" its overseas publishing functions with its operations in Tokyo, while also letting it launch new businesses by "moving forward with investments in fields including blockchain, AI, and the cloud."
Elaborating on those ambitions during the briefing, Square said it specifically wants to create "appealing titles" that are better aligned to the needs of its customers and continue exploring "the potential of earnings structures, breadth of play, and NFT ownership experiences in the NFT business."