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The revenue generated from Square Enix games<\/strong> in Japan is no longer enough to recoup development costs and investment. The publisher said as much in its financial report for the year 2022, arguing that it had to sell its Western studios to Embracer because they were only focused on the development of \u201cmajor\u201d games, which \u201cpresented the risk of a serious cannibalization\u201d of Square Enix\u2019s limited resources. However, the company recognizes the need for a global presence in order to remain profitable, and wants to make games that enable it to succeed in the global market.<\/p>\n

A number of recent Square Enix games have flopped<\/h2>\n

\u201cFor our Group to better focus on developing titles for the\u00a0global market in this changing environment, we need to\u00a0concentrate our limited resources on the development of strong\u00a0and robust titles,\u201d reads the report. Unfortunately, a number of Square Enix-published Western games in recent years landed with a thud in the market, with the most recent flop being PlatinumGames-developed Babylon\u2019s Fall. And from we\u2019ve seen so far, PS5 console exclusive Forspoken has people worried.<\/p>\n

Interestingly, Square Enix\u2019s Japanese games are some of its most successful titles around the globe. One needs to look no further than Final Fantasy.<\/p>\n<\/p><\/div>\n