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Capcom share holders do not approve stock take over defense

Disney is doing quite well in the gaming space. They've purposefullyly evacuated consoles, because they see them as dead weight. Their focus on social and mobile now, and they do quite well there.
Last I recall reading social was a bust for Disney Interactive. They spent hundreds of millions on Playdom for naught.

Mobile is a boom, particularly in Japan, for them.

And this is what they attribute recent quarterly profits to in the segment.
Disney_Infinity.jpg

Their $100M transmedia console bet.

But something like Capcom wouldn't make much sense at all considering the direction they're taking.
 

Village

Member
Ya'll just suggesting disney so you can get marvel 4. Ya'll ain't slick.


Also if Disney were to buy them, wouldn't they make less of the games you like than before. Everything would be mobile, well most things anyway.
 
Will the shareholders be okay with a massive Capcom restructuring/layoffs should a stock take-over happens?

Because if any of the 3 major platform holders are interested, their primary interest will probably be only some IPs and some high-caliber talent. Capcom does have other parts of the business that are either irrelevant to the platforms holders, like their arcade business and stuff. I can't see them not making an acquisition that won't be extremely painful and cut a ton of jobs.
 

Neoxon

Junior Member
Last I recall reading social was a bust for Disney Interactive. They spent hundreds of millions on Playdom for naught.

Mobile is a boom, particularly in Japan, for them.

And this is what they attribute recent quarterly profits to in the segment.
Disney_Infinity.jpg

Their $100M transmedia console bet.

But something like Capcom wouldn't make much sense at all considering the direction they're taking.
Actually, they've been trying to use Marvel as a means to take the console market for a while after seeing the success of the Arkham games & Injustice. At the very least, a Capcom purchase would certainly kombat NRS.

Better them than any of the Big 3 console makers. At least they'd remain third party.
 
Actually, they've been trying to use Marvel as a means to take the console market for a while after seeing the success of the Arkham games & Injustice. At the very least, a Capcom purchase would certainly kombat NRS.
Disney's new gaming MO is to concentrate on fewer properties and develop less in-house. They laid off 700 staff this year. They were burned on their last big gaming acquisition. They're licensing Star Wars game development out to EA. Their in-house console focus will be Infinity 2.0. So it would be illogical to spend north of a billion dollars to bring on board Capcom's 2,000 staff.
 

Yoshi

Headmaster of Console Warrior Jugendstrafanstalt
While that is true to an extent, millions of gamers would get screwed over (yes, I do own both a Wii U & a 3DS XL). Tons of Sony & Microsoft players would be pissed off by such a buyout. Plus, even though Nintendo could afford to get Capcom, it's more of if such a purchase would be worth it.

No matter which console maker bought Capcom, some rabid fans would be pissed off. However, that's really unimportant isn't it? Basically there are two talking points:
1. For who does it make the most sense to buy Capcom?
2. Who would be the best for Capcom's future output, i.e. who as a buyer would most likely make Capcom fans (and I'm talking real Capcom fans here, not console-warriors who happen to also like some Capcom games)?

I think the answer to both questions is Nintendo if none of the big third party publishers is interested in buying Capcom. Nintendo has the most to lose if Capcom went mobile only or Sony bought them but at the same time would probably leave all major series as console / handheld series intact. A Capcom fan who doesn't own a Nintendo system (missing out on Monster Hunter and Ace Attorney this way) would just buy a Wii U and a 3DS in a heartbeat, would probably cost them about 400€ - as much as an Xbox One or a PS4, not much lost here.
 

Freeman

Banned
Thinking about it Capcom would make a lot of sense for Disney to acquire and I would much prefer them to something like MS.

Capcom IPs are very valuable specially to a company like Disney. I see a lot of potential in their studios but they are constantly brought down by poor management decisions.
 
1. For who does it make the most sense to buy Capcom?
2. Who would be the best for Capcom's future output, i.e. who as a buyer would most likely make Capcom fans (and I'm talking real Capcom fans here, not console-warriors who happen to also like some Capcom games)?
The answer to your first question is no one, because their properties aren't worth the cost, or alternatively as some have suggested a conglomerate/holding company who can leverage/salvage what remains of their properties over as many platforms as possible including growing mobile and probably with a strategy that extends beyond just games. Something like Tencent.

The answer to your second question is also no specific company. I don't know what exactly a Capcom fan is? Is it someone who'll just buy whatever the company puts out regardless of genre or quality?

It does not make sense for Nintendo to spend a sixth of their cash and equivalents for Capcom's properties over some hypothetical fear that Sony or Microsoft would waste a dime buying Capcom and steal Monster Hunter, a geographically limited franchise in a declining market. And the idea that people will flock to any single system just to play Capcom's games in this day and age is ridiculous, particularly without the critical mass of everyone else's games to build receptive audiences.
 

MisterHero

Super Member
LOL @ posters seriously suggesting these MMO companies as prospective buyers. They could do it but the IPs can also rot in F2P hell or remain exclusive to Asia.
 

Neoxon

Junior Member
No matter which console maker bought Capcom, some rabid fans would be pissed off. However, that's really unimportant isn't it? Basically there are two talking points:
1. For who does it make the most sense to buy Capcom?
2. Who would be the best for Capcom's future output, i.e. who as a buyer would most likely make Capcom fans (and I'm talking real Capcom fans here, not console-warriors who happen to also like some Capcom games)?

I think the answer to both questions is Nintendo if none of the big third party publishers is interested in buying Capcom. Nintendo has the most to lose if Capcom went mobile only or Sony bought them but at the same time would probably leave all major series as console / handheld series intact. A Capcom fan who doesn't own a Nintendo system (missing out on Monster Hunter and Ace Attorney this way) would just buy a Wii U and a 3DS in a heartbeat, would probably cost them about 400€ - as much as an Xbox One or a PS4, not much lost here.
How about none of the console makers get Capcom. Everyone still gets games from them if they remain third party.
 
Actually, they've been trying to use Marvel as a means to take the console market for a while after seeing the success of the Arkham games & Injustice. At the very least, a Capcom purchase would certainly kombat NRS.

Better them than any of the Big 3 console makers. At least they'd remain third party.

They will not counter DC/Warner console market with Disney Infinity MArvel. Disney Infinity is pretty much its own stuff and directed to a different public.

Hell, even Star Wars seems to be less and less a sure bet.
 

sörine

Banned
It does not make sense for Nintendo to spend a sixth of their cash and equivalents for Capcom's properties over some hypothetical fear that Sony or Microsoft would waste a dime buying Capcom and steal Monster Hunter, a geographically limited franchise in a declining market. And the idea that people will flock to any single system just to play Capcom's games in this day and age is ridiculous, particularly without the critical mass of everyone else's games to build receptive audiences.
The bigger appeal for Nintendo in buying Capcom wouldn't be in IP (although MH/RE would still be quite a get for them) it'd be in workforce and engine/technology. At this point Nintendo's essentially supporting their platforms themselves, their run up to HD development has been slow and problematic and now as a result they're researching cross-platform development for their future systems. Capcom's ~1500 development staff and readymade MT Framework/Panta Rhei engines would go some way towards helping solve modern Nintendo's immediate workflow issues.

I don't think Nintendo's really all that likely to be interested in Capcom myself but I do think some are looking at this from the wrong angle by purely considering IP.
 

Sayad

Member
LOL @ posters seriously suggesting these MMO companies as prospective buyers. They could do it but the IPs can also rot in F2P hell or remain exclusive to Asia.
MMOs are a dying breed, they have to expand in other directions before they run out of money. ;p
 

Neoxon

Junior Member
sörine;117718751 said:
The bigger appeal for Nintendo in buying Capcom wouldn't be in IP (although MH/RE would still be quite a get for them) it'd be in workforce and engine/technology. At this point Nintendo's essentially supporting their platforms themselves, their run up to HD development has been slow and problematic and now as a result they're researching cross-platform development for their future systems. Capcom's ~1500 development staff and readymade MT Framework/Panta Rhei engines would go some way towards helping solve modern Nintendo's immediate workflow issues.

I don't think Nintendo's really all that likely to be interested in Capcom myself but I do think some are looking at this from the wrong angle by purely considering IP.
But this also brings up the issue of such a buyout's effect on fans, especially the fighting game community. I guarantee you it would not end pretty.

The only way this will end well is if Capcom remains third party.
 

Tripon

Member
But this also brings up the issue of such a buyout's effect on fans, especially the fighting game community. I guarantee you it would not end pretty.

The only way this will end well is if Capcom remains third party.

This isn't going to end well, that's the point.
 

Takao

Banned
LOL @ posters seriously suggesting these MMO companies as prospective buyers. They could do it but the IPs can also rot in F2P hell or remain exclusive to Asia.

Is that really much of a deviation from the Capcom of today? They revived Onimusha and Breath of Fire as Asia exclusive F2P games.
 

Neff

Member
It does not make sense for Nintendo to spend a sixth of their cash and equivalents for Capcom's properties over some hypothetical fear that Sony or Microsoft would waste a dime buying Capcom and steal Monster Hunter, a geographically limited franchise in a declining market.

RE at least is bulletproof these days. Widespread bad press can't even stop it from selling millions. If you put RE and MH and SF and whatever else on one brand of hardware, forever, and establish that fact, that brand is without a doubt going to see a significant boost in selling power and market relevance than it might ordinarily have had.

Whether that's worth the asking price to Nintendo is another matter entirely.
 

Opiate

Member
Last I recall reading social was a bust for Disney Interactive. They spent hundreds of millions on Playdom for naught.

Mobile is a boom, particularly in Japan, for them.

And this is what they attribute recent quarterly profits to in the segment.
Disney_Infinity.jpg

Their $100M transmedia console bet.

But something like Capcom wouldn't make much sense at all considering the direction they're taking.

I think you're forgetting Club Penguin, which has done very well for Disney. But yes, Disney Infinity has done very well; as you say, it's not the sort of console bet we're talking about, however. I can reframe the discussion as "hardcore" console gaming, if you'd prefer.
 

fred

Member
But this also brings up the issue of such a buyout's effect on fans, especially the fighting game community. I guarantee you it would not end pretty.

The only way this will end well is if Capcom remains third party.

It would end with the majority of the FGC buying a Nintendo home and portable console every generation. That, combined with the Monster Hunter, Resident Evil and Mega Man franchises as well as access to every legacy game for the Virtual Console would be a great investment for Nintendo long-term.

People in the FGC may mumble, grumble and groan to begin with but they'll still buy the hardware and software lol
 

heidern

Junior Member
As development costs continue to rise it will become even harder for Capcom IPs to maintain their viability. I definitely don't see Nintendo spending a billion dollars on Capcom. They already have Monster Hunter exclusive and I don't think Resident Evil will help them much. It didn't do much for the Gamecube back in the day.

There's no guarantee that there would be a buyer but if there was it would probably be someone from outside console/handheld videogaming that could maintain them as third party and leverage them towards mobile etc. There also maybe be a possibility of breaking up and/or downsizing the company I guess.
 

jholmes

Member
Do we actually have figures for all companies, cuz last I check Sony spent close to that just on advertising

Sony has a lot of bills to pay and needs a lot of liquid capital for some of its products. (Stuff like making movies, signing music deals, plus of course non-stop advertising.)

You guys are mistaken if you think Sony will spend $1 billion on Capcom, and that's because Sony is trying to leverage the PlayStation division to get its money-losing divisions back into the black. Spending $1 billion for Resident Evil 7 won't make up for Disney getting back Spider-Man movie rights or further losses on television distribution or the giant money pit that is TV sales.
 
sörine;117718751 said:
The bigger appeal for Nintendo in buying Capcom wouldn't be in IP (although MH/RE would still be quite a get for them) it'd be in workforce and engine/technology. At this point Nintendo's essentially supporting their platforms themselves, their run up to HD development has been slow and problematic and now as a result they're researching cross-platform development for their future systems. Capcom's ~1500 development staff and readymade MT Framework/Panta Rhei engines would go some way towards helping solve modern Nintendo's immediate workflow issues.

I don't think Nintendo's really all that likely to be interested in Capcom myself but I do think some are looking at this from the wrong angle by purely considering IP.
Someone already noted before, but the problem with buying for talent is that talent is mobile and they really shouldn't need to spend a billion dollars to acquire the husk of Capcom to upstaff. I don't know how transferable Capcom's engine's designed largely for multiplat development on others' platforms would be, but if they were useful Nintendo could just arrange some sort of licensing agreement.
I think you're forgetting Club Penguin, which has done very well for Disney. But yes, Disney Infinity has done very well; as you say, it's not the sort of console bet we're talking about, however. I can reframe the discussion as "hardcore" console gaming, if you'd prefer.
I think it's notable they're still seeing some success in the console sphere, but they needed to refocus their console efforts towards their strengths. And they'll still be operating in the core console gaming space, but mainly through out-licensing.
 

sörine

Banned
Someone already noted before, but the problem with buying for talent is that talent is mobile and they really shouldn't need to spend a billion dollars to acquire the husk of Capcom to upstaff. I don't know how transferable Capcom's engine's designed largely for multiplat development on others' platforms would be, but if they were useful Nintendo could just arrange some sort of licensing agreement.
That's traditionally why Nintendo's shied away from acquisitions in the past, a company is really only as valuable as it's people. If Nintendo were to buy out Capcom it would have to be something the employees favored too (such as with the Monolith Soft purchase). Ono would be happy at least.

Capcom's MT Framework already runs on 3DS and Wii U and has been used in two easy ports to the latter so far. Capcom isn't interested in licensing it though, they've been asked about it before. Panta Rhei is designed for next gen but was said to be Wii U inclusive and could make a good base for Nintendo's next platforms.
 
A cross-national PE shop should do a leveraged buyout of the firm. It's a pretty perfect PE investment: low capex, relatively steady cash flows, tremendous value to be unlocked in a five-year time frame through operational control and managerial reshuffling. Could fit nicely in SilverLake's current fund.
 
It would end with the majority of the FGC buying a Nintendo home and portable console every generation. That, combined with the Monster Hunter, Resident Evil and Mega Man franchises as well as access to every legacy game for the Virtual Console would be a great investment for Nintendo long-term.

People in the FGC may mumble, grumble and groan to begin with but they'll still buy the hardware and software lol

No offense, but how many people who buy Street Fighter do you think are actually members of the FGC?

Nintendo has enough problems with pushing hard-appeal to a core enthusiast audience whose numbers have been drastically inflated. The same as most people who have bought Nintendo consoles in the past are not hardcore Nintendo fans, most people who have bought Street Fighter in the past are not hardcore members of the FGC. Most people who own Street Fighter don't even buy an arcade stick to play it with, much less buy an entire console just to play it.

Most of the sales of Street Fighter, the same as any other game, are to people who've heard that it's a good game or simply been caught up in the marketing. There aren't actually two million people out there who will straight-up buy a console just to play it; most of them just won't buy it anymore if it doesn't come out on a console they already own.
 

Turrican3

Member
the problem with buying for talent is that talent is mobile and they really shouldn't need to spend a billion dollars to acquire the husk of Capcom to upstaff.
The way I see it the additional manpower would be a somewhat welcomed "side effect" of the acquisition, but in my opinion the primary incentive would be securing many extremely powerful IPs.

I'm sure the infamous quality control of Nintendo could do wonders to them, which in turn might (hopefully!) help expanding the userbase and getting back some fans that apparently got burned by a couple of recent iterations of the aforementioned IPs.

I don't know how transferable Capcom's engine's designed largely for multiplat development on others' platforms would be, but if they were useful Nintendo could just arrange some sort of licensing agreement.
As it has already been noted (to be honest though I didn't know abouth Pantha Rei potential (?) compatibility) MT Framework is already running on Wii U, but I guess having a "nextgen" engine being worked on for a while wouldn't hurt either if we look at this in medium/long term, ie future Nintendo hardware.

Regarding the licensing agreement: couldn't it be nullified should a third party (or another platform holder different than Nintendo) acquire Capcom? :-\
 

duality1123

Neo Member
I got to admit that I'm really hoping that Nintendo seize this chance since Iwata did say that they were open to Mergers and Acquisitions. Sony doesn't have the money and while I will freely admit my bias in that I just flat don't want Microsoft to buy it since I don't like their system and games beside the early halos. I really believe that Nintendo could gain the most from this.

A couple people on here are saying that there's no reason for Nintendo to do this since they have Monster Hunter already (and also some think its a dying genre for a dying market on a dying platform) but I'd say that its the fact that it's more about keeping it on Nintendo that's the important part. Things like Ace Attorney sweeten the pot. Dead Rising, Devil May Cry and Resident Evil are great for Nintendo since those generally skip Nintendo's Systems and a lot of people though annoyed would get a different system for at least one of them I believe.

Street Fighter obviously is a big thing for a lot of people but I don't see why people wouldn't buy it if it was only on Nintendo, and arcades since getting rid of that would be a pretty stupid idea honestly.

(not to mention that Capcom's recent mobile/social efforts could be spun on to the 3ds and Wii U eshop and there would be no reason that they couldn't help Nintendo with Nintendo's own VC titles or possible HD remasters, 2000 extra hands would make Nintendo's job a lot easier in the long-term)
 

Yoshi

Headmaster of Console Warrior Jugendstrafanstalt
But this also brings up the issue of such a buyout's effect on fans, especially the fighting game community. I guarantee you it would not end pretty.

The only way this will end well is if Capcom remains third party.

What do you think would happen in the fighting game community if Nintendo bought Capcom? Would they decide Street Fighter cannot be played anymore, because on Nintendo systems you can only ever play Smash Bros. if your are a fighting game fan?
 

alstein

Member
What do you think would happen in the fighting game community if Nintendo bought Capcom? Would they decide Street Fighter cannot be played anymore, because on Nintendo systems you can only ever play Smash Bros. if your are a fighting game fan?

I think you'd see the FGC turn heavily to Nintendo, with all the strengths and weaknesses that implies. You'd see a knock-on effect with the anime games trying to get in as well.

The 3d games might not go to the Wii U due to hardware limitations, but would on a future console.
 

Mr_Moogle

Member
Nintendo are massive tight asses. They would never be willing to shell out that much for Capcom. It's a shame too because they could really use the extra manpower.
 
What do you think would happen in the fighting game community if Nintendo bought Capcom? Would they decide Street Fighter cannot be played anymore, because on Nintendo systems you can only ever play Smash Bros. if your are a fighting game fan?

Honestly? For the Wii-U, it wouldn't make a difference. There isn't likely to be another (Capcom) fighter that will come along and take SF4's place in the tournament scene in the expected remaining lifespan of the Wii-U. (And no, this isn't a stealth "Wii-U doomed" post; even successful Nintendo consoles run on roughly a five year period of direct first-party support before they start moving assets to the successor console. SF4 is likely to remain in tournament rotation for the entire remaining lifespan of the system, even if it doesn't get replaced early.)

Even in a hypothetical situation where Capcom did completely flip their script and release SF5 within the next two years, you're talking about a few hundred thousand hardcore fighting game fans who would follow it. The FGC =/= the total sales numbers of SF4. The majority of people who buy SF4 are relatively casual players with no interest in tournament play.

I'm saying this as someone who is going to buy a Wii-U solely because of Bayonetta: the members of communities like the FGC and hardcore character action fans are crazy loyal and extremely vocal, but nowhere near as high in actual numbers as their representation on places like GAF would lead you to believe. These are still niche enthusiast communities and not the majority markets for the games in question.
 

Tenki

Member
What if Iwata decides to buy Capcom in order to hide his hypothetic failed attempt to make a profit?

Could he do it? I mean, if Nintendo buys Capcom for, let's say, $1B, and Nintendo losses $1.2B, it's pretty obvious that there were $200M in losses.
 

Yoshi

Headmaster of Console Warrior Jugendstrafanstalt
Honestly? For the Wii-U, it wouldn't make a difference. There isn't likely to be another (Capcom) fighter that will come along and take SF4's place in the tournament scene in the expected remaining lifespan of the Wii-U. (And no, this isn't a stealth "Wii-U doomed" post; even successful Nintendo consoles run on roughly a five year period of direct first-party support before they start moving assets to the successor console. SF4 is likely to remain in tournament rotation for the entire remaining lifespan of the system, even if it doesn't get replaced early.)

Even in a hypothetical situation where Capcom did completely flip their script and release SF5 within the next two years, you're talking about a few hundred thousand hardcore fighting game fans who would follow it. The FGC =/= the total sales numbers of SF4. The majority of people who buy SF4 are relatively casual players with no interest in tournament play.

I'm saying this as someone who is going to buy a Wii-U solely because of Bayonetta: the members of communities like the FGC and hardcore character action fans are crazy loyal and extremely vocal, but nowhere near as high in actual numbers as their representation on places like GAF would lead you to believe. These are still niche enthusiast communities and not the majority markets for the games in question.

Yeah, of course I'm aware that Street Fighter would sell less if it went Nintendo-only, but the posting I've quoted was specifically speaking about the fighting game community.
 

Chindogg

Member
I think you'd see the FGC turn heavily to Nintendo, with all the strengths and weaknesses that implies. You'd see a knock-on effect with the anime games trying to get in as well.

The 3d games might not go to the Wii U due to hardware limitations, but would on a future console.

Wii U has the best version of TTT2.

Nintendo are massive tight asses. They would never be willing to shell out that much for Capcom. It's a shame too because they could really use the extra manpower.

They tried to buy Bandai and Namco a decade ago and were in early talks to buy Index.
 
Nah, announcing a bunch of VC-games isn't indicative of a buy-out from Nintendo, right?

I mean, I would love it.

But it isn't a hint, right?

Right?
 
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