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Square Enix to spend less on development/more on marketing, planning E3 presentation

ebil

Member
I hope we see a lot of FFXIV at the conference.

Dat game must be money well spent by this point.
We most definitely will. It's their biggest title and it will be released a few weeks after E3, marketing should be be at full throttle by June. Especially with these insane operating targets.
 
What's the fate of Luminus Engine?

is it accounted for as "done" or will they scrap it altogether?

They wasted lots of money on it and if even if they only do 1 HD game in the whole gen it will be worth. If they plan using Crystal Tools for the next FF game....oh god.
 

ironcreed

Banned
It's sad that nowadays you have to develop either an AAA game, or a smartphone game. No more space for mid-tier projects, that flourished during PS1 / PS2 / DS era.

That pretty much says it all. Some of the B-tier games usually end up striking the right balance for me as well. They are not over hyped, but many still end up being fantastic for what they are. What's more, is that you do not need some ridiculously huge budget that sinks your ship in order to make a great game. What the industry needs to do is to hire more people with great ideas that can innovate and do more with less. Spending more on marketing sure as hell is not the answer... better ideas are.
 

Kagari

Crystal Bearer
Yup. Nothing new, though. =P

I do find giving consumers early access to game development interesting. I'm assuming that means they'll just give us more updates. Which would have been nice in Versus' case.

I'll believe it when I see it.
 

Saty

Member
Does that mean Tomb Raider\Hitman didn't even break even? I'm struggling to interpret the tweets in a way that doesn't imply that.
 
Why not more modest budgets, and more modest marketing? For a modest return on investment? That way every game doesn't have to sell 5 million copies to break even.

"We're determined to put all of our eggs into one of these flaming baskets, so pick one."

Edit: I think people are interpreting the tweet about early access wrong. I think what he's saying is, Square regrets offering early access to some titles that were no where near completion, causing gamers to grow impatient. So they will be less likely to show games like Agito and vs 5-9 years before their release date just for the sake of padding their release list.
 

Shamdeo

Member
I do find giving consumers early access to game development interesting. I'm assuming that means they'll just give us more updates. Which would have been nice in Versus' case.

I really wonder if that would have been a wise idea for Versus given the time that's elapsed.
 

Nirolak

Mrgrgr
They're unrealistic I feel.

At a $15 per month subscription (I think FFXIV charges less), they would need ~1.4 million subscribers for an entire year to make that.

25,000,000,000.00 JPY = 245,690,363.91 USD

250 million / ($15 * 12) ~= 1.39 million

I think we've got one more thread coming here, even considering they have boxed sales in here somewhere.
 

Coxy

Member
SE to investors: we'll pay you when we do well, we're good for it, honest
coupled with ridiculous expectations for FF14?
wouldnt be a happy investor.
 

Kagari

Crystal Bearer
At a $15 per month subscription (I think FFXIV charges less), they would need ~1.4 million subscribers for an entire year to make that.

25,000,000,000.00 JPY = 245,690,363.91 USD

250 million / ($15 * 12) ~= 1.39 million

I think we've got one more thread coming here, even considering they have boxed sales in here somewhere.

I feel bad for Yoshida. He'll be the one to shoulder the blame.
 

Mobius 1

Member
It's over for them. Whatever FF they have in the oven now may as well be the last one.

Never forget:
squaresoft.jpg
 
At a $15 per month subscription (I think FFXIV charges less), they would need ~1.4 million subscribers for an entire year to make that.

25,000,000,000.00 JPY = 245,690,363.91 USD

250 million / ($15 * 12) ~= 1.39 million

I think we've got one more thread coming here, even considering they have boxed sales in here somewhere.

Isn't the math on this a bit more complicated? I don't think the client is free, is it?
 

ebil

Member
At a $15 per month subscription (I think FFXIV charges less), they would need ~1.4 million subscribers for an entire year to make that.

25,000,000,000.00 JPY = 245,690,363.91 USD

250 million / ($15 * 12) ~= 1.39 million

I think we've got one more thread coming here, even considering they have boxed sales in here somewhere.
There are 3 pricings: Legacy for former players ($9.99), Entry ($12.99 for 8 characters), and Standard ($14.99 for 40 characters).
1.4 million is the optimistic scenario, with Entry pricing it's 1.6 million subs, about 3 times the subs FF11 had at its peak.

EDIT: oh, that's the entire company. That would make more sense (if anything still makes sense with SE these days).
 
This is what we want, Square Enix!

Not well-received games like TWEWY, Bravely Default, Type-0, and Dragon Quest, no. What we really want is all of these games... on our cell phones!

That, and even less effort put into games for quicker turnover, but with more Lightning marketing! At least I can rest easy that Lightning will be on mobile now, where she and the rest of her ilk belong.
 
Well it says for the mid term, so presumably this is on an annual basis.

Unless it's the mid term of the entire company.

No, I mean for FFXIV you had to buy the game for whatever price it went ($50/50€?) with 30 days included. At least for new subscribers this would make the first month three times as expensive.

But I see it isn't for FFXIV alone anyway.
 
I agree, they're absolutely insane. No way FF14 doesn't end up as the next scapegoat for SE when it fails to meet them.

I mean FF XI peaked at 500k subs. ARR is way more friendly but with a troublesome past behind. No, is incredible stupid specially looking at the actual MMO landscape.

Are we positive that isn't an operating income target isn't for the entire company?

I mean this is so ridiculous I can hardly believe it.

I really hope so.

Edit: I see is for the entire company. Bullet dodged, Yoshida.
 

Htown

STOP SHITTING ON MY MOTHER'S HEADSTONE
they really still think the FF14 relaunch is going to make them a lot of money?
 

Nirolak

Mrgrgr
No, I mean for FFXIV you had to buy the game for whatever price it went ($50/50€?) with 30 days included. At least for new subscribers this would make the first month three times as expensive.

But I see it isn't for FFXIV alone anyway.

Right, I get what you mean for the first year, but if it was mid term I was assuming they were intending on sustaining that going forward.
 
Maybe 'develop less, spend more on marketing' looks way better on paper because when you hear it, it sounds terrible.

If they just said they want to market more I could understand but it's like they think their games exist about some fictional quality line and they don't think putting less time into the game will effect them. That's either very bold or just desperate. I want SE to be around, I think it's good for everyone but they seems to be in a tight spot.
 

daveo42

Banned
There are 3 pricings: Legacy for former players ($9.99), Entry ($12.99 for 8 characters), and Standard ($14.99 for 40 characters).
1.4 million is the optimistic scenario, with Entry pricing it's 1.6 million subs, about 3 times the subs FF11 had at its peak.

EDIT: oh, that's the entire company. That would make more sense (if anything still makes sense with SE these days).

Good to know they that's the total and not just ARR. It would have been even more ridiculous than the issues they had cited for loss was based on assumed metacritic scores for Tomb Raider and (I think) Deus Ex.
 
So I a get that slide right, the forscast for FY14 is still 7 billion yen, but they intend to get 25b yen in the next years?

Oh boy, this is gonna ben fun(sad).
 
Right, I get what you mean for the first year, but if it was mid term I was assuming they were intending on sustaining that going forward.

Ah, gotcha. Their target doesn't seem to be that unreasonable, considering they would free up a huge part of their work force as soon as they release XIV. Now it only has to catch on :p

So I a get that slide right, the forscast for FY14 is still 7 billion yen, but they intend to get 25b yen in the next years?

Oh boy, this is gonna ben fun(sad).

Exactly. That's ~$70m and ~$233m respectively.
 

Stuart444

Member
All this is stuff from Wada right? Not the new CEO who is supposed to take over in the summer?

If so, might we see them change their strategy when the new guy comes in? Because some of this sounds like Wada panicking right before he steps down from his current role... or something like that anyway.
 

Nirolak

Mrgrgr
So I a get that slide right, the forscast for FY14 is still 7 billion yen, but they intend to get 25b yen in the next years?

Oh boy, this is gonna ben fun(sad).

Yes, though that's technically the midpoint of their guidance. They expect between 5 to 9 billion yen in operating income ($49-$88.5 million).
 

Nirolak

Mrgrgr
All this is stuff from Wada right? Not the new CEO who is supposed to take over in the summer?

If so, might we see them change their strategy when the new guy comes in? Because some of this sounds like Wada panicking right before he steps down from his current role... or something like that anyway.

This is all from the new CEO.

He's not officially approved yet, but he's in charge at the moment.
 
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