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[cormack12]

Source: https://www.reuters.com/business/me...investments-over-next-three-years-2021-05-26/

Sony Group (6758.T) said on Wednesday it will spend 2 trillion yen ($18.39 billion) over the next three years on strategic investments, including a push to expand subscribers to its gaming and entertainment services.

Sony said in a statement it would accelerate investments in mobile and online services with the aim of expanding the number of consumers directly connected to its services to 1 billion people from 160 million.

As it streamlines its consumer electronic business, Sony is focusing more on movies, games and other content it sells through platforms such as its PlayStation games console.


They announced the following goals:

• Increase number of consumers connected to Sony services from 160M to 1 Billion
• Make gaming more social (examples include their investment in Discord, Fortnite)
• Invest in IP and studios (examples include Insomniac Games)
• Increase synergies between departments (Sony AI is helping PlayStation develop AI companion opponents or co-op buddies)
• PlayStation Plus has grown by 6.1M subscribers in the last 12 months to 47.6M paid users

 

[TBiddy]

Sony also realising that subscription services are the future.

 

[prinz_valium]

Just 1bn consumers?
MS wants to reach 2 or 3bn

 

[laynelane]

I like the sound of "invest in IP and studios".

 

[Ass of Can Whooping]

Sony also realising that subscription services are the future.

They've always believed in subscription services

 

[Touch fuzZy. get BizZay]

18 billion is a lot. Sony could just put that in the bank and live off the interest

 

[DenchDeckard]

Looking forward to Sony's game pass service soon. Sign me up!

 

[Bramble]

Sony also realising that subscription services are the future.

Sony also realizing subscription services and selling blockbuster AAA games go very well together and are both being done already.

 

[Alexious]

They announced the following goals:

• Increase number of consumers connected to Sony services from 160M to 1 Billion
• Make gaming more social (examples include their investment in Discord, Fortnite)
• Invest in IP and studios (examples include Insomniac Games)
• Increase synergies between departments (Sony AI is helping PlayStation develop AI companion opponents or co-op buddies)
• PlayStation Plus has grown by 6.1M subscribers in the last 12 months to 47.6M paid users

Where did you get the latter two bullet points? They certainly aren't in that Reuters piece.

 

[vaibhavpisal]

Why do they need 18 Billion for?

Bethesda sized acquisition?

Gamepass competitor?

 

[ANIMAL1975]

I like the sound of "invest in IP and studios".

Exactly, that's the only way to get those numbers up _ more and better content! So as long as they keep investing and delivering the hardware where i prefer to game (the consoles) i am all for it!

 

[SLB1904]

Just 1bn consumers?
MS wants to reach 2 or 3bn

We all want things

 

[Ass of Can Whooping]

Why do they need 18 Billion for?

Bethesda sized acquisition?

Gamepass competitor?

This is over three years for the whole of Sony

 

[sublimit]

Invest in IP and studios (examples include Insomniac Games)
Increase synergies between departments (Sony AI is helping PlayStation develop AI companion opponents or co-op buddies)

I bet these are the points most people will care about the most.

 

[Negotiator101]

I like the sound of "invest in IP and studios".

This is across all their entertainment divisions not just gaming.

 

[laynelane]

This is across all their entertainment divisions not just gaming.

As long as it includes gaming, I'm happy.

 

[Oddvintagechap]

Why do they need 18 Billion for?

Bethesda sized acquisition?

Gamepass competitor?

Large investments.

I dont see them spending 8 billion on any company. They already know how to make video game hits. If Amazon buys MGM. Sony been trying to buy them for like 20 years now. I do see them buying Capcom from that failure. Since their japan studio has horrible sales.

 

[Negotiator101]

This is over three years for the whole of Sony

Yes people not reading the details it seems, still nice to see Sony making moves going forward.

 

[Heisenberg007]

Where did you get the latter two bullet points? They certainly aren't in that Reuters piece.

Not OP, but I read those details in the official Corporate Strategy Meeting transcription documents.

 

[Heisenberg007]

Even if 1/3rd of that goes to Playstation Studios, that'd be around $6 billion.

This would mean around 10-15 new teams or studios at least, or at least 1 big publisher with half a dozen studios. Either way, it would lead to roughly 15+ exclusive games in one generation.

 

[jhjfss]

"Sony said in a statement it would accelerate investments in mobile and online services with the aim of expanding the number of consumers directly connected to its services to 1 billion people from 160 million."
now where have i heard this before?

 

[skakmk]

Coming to think of it, Sony’s recent ps plus lineup has been a competitor to gamepass in itself. The best part about giving away these games via plus is the certainty, I.e no rotation/outflow of content.

However nothing can match the experience of browsing through the huge gamepass catalogue.

 

[jroc74]

Sony also realising that subscription services are the future.

Exactly, since they just created Plus and PSNow this year....

 

[NoviDon]

Capcom is worth 3 bn and has alot of still relevant AAA franchises. Square Enix 2bn, Sega 4 bn. Then you have smaller companies that have many lucrative franchises like Bandai Namco worth half a Bn.

 

[jroc74]

"Sony said in a statement it would accelerate investments in mobile and online services with the aim of expanding the number of consumers directly connected to its services to 1 billion people from 160 million."
now where have i heard this before?

With regards to mobile and online services? Not sure.

 

[Max_Po]

Sony also realising that subscription services are the future.

oh you don't say ... what is PSN+ ???

 

[Max_Po]

Exactly, since they just created Plus and PSNow this year....

Hey man ... don't predict the future for him ... LOL

 

[DinoD]

18 billion is a lot. Sony could just put that in the bank and live off the interest

you know very little about accounting and finance.

 

[TBiddy]

Exactly, since they just created Plus and PSNow this year....

That's not what I said. They are accelerating their investment in order to reach a much larger audience. Where have we heard this before in the console space? I assume we will "soon" see an aggressive expansion of PS Now with regards to streaming.

 

[jroc74]

That's not what I said. They are accelerating their investment in order to reach a much larger audience. Where have we heard this before in the console space? I assume we will "soon" see an aggressive expansion of PS Now with regards to streaming.

Agree with this.

But Sony realized subscription services are the future in 2010, when they created PS Plus. And a few years after that they started investing in game streaming services.

Sony isnt realizing anything. They already knew this.

 

[TBiddy]

Agree with this.

But Sony realized subscription services are the future in 2010, when they created PS Plus. And a few years after that they started investing in game streaming services.

Sony isnt realizing anything. They already knew this.

I should probably have clarified that I meant in terms of reaching a broader audience.

 

[Dodkrake]

Just 1bn consumers?
MS wants to reach 2 or 3bn

I also want a lap dance from Emma Stone.

 

[Clear]

I really would not be surprised if they were planning on buying SE based on that statement.

 

[Zeeed]

.

 

[sublimit]

I really would not be surprised if they were planning on buying SE based on that statement.

I don't know but i doubt SE would want to be bought though. And a lot of their games end up being console exclusive to playstation platforms anyway (timed or not).

 

[Mr.ODST]

I don't know but i doubt SE would want to be bought though. And a lot of their games end up being console exclusive to playstation platforms anyway (timed or not).

Alot of their games sell an absolute shitton on the switch

 

[Touch fuzZy. get BizZay]

you know very little about accounting and finance.

Thank you for taking my post seriously! That's even better

 

[lh032]

exclusive AAA mobile game.
God of Impact
Horizon Zeronite

 

[Clear]

I don't know but i doubt SE would want to be bought though. And a lot of their games end up being console exclusive to playstation platforms anyway (timed or not).

They seem very close to Sony right now with a lot of exclusivity deals, and that's often an indication that they may be amenable to a merger.

The draw for Sony is they have the multi-media capabilities to leverage SE's IP beyond just games, and that might appeal to the SE board too provided the deal allows for them to still publish games outside of Playstation. As with Zenimax, the potential value is in IP control more than anything else.

 

[jroc74]

Just 1bn consumers?
MS wants to reach 2 or 3bn

Between mobile gaming, music, TV, film, console gaming....Sony could hit this number.

They need to get back into, start focusing on mobile gaming more tho. Also this: (pg 43)

https://www.sony.com/en/SonyInfo/IR/library/presen/strategy/pdf/2021/speech_E.pdf

Sony also has DTC services for communities of interest other than anime. One is PureFlix, a faith and family centered offering. Another is our video DTC service in India called SonyLIV which is rooted in local culture and has increased its paying subscribers to approximately 5.6 million by about eight times in the twelve months through this April. In order to bring Kando to even more users in the growing market of India, we plan to increase our content offering

I dont think they just mean gaming because of this:

This is over three years for the whole of Sony

 

[FIREKNIGHT2029]

As long as they are still investing in AAA games then I'm happy. I don't care about the other stuff lol.

 

[Yoboman]

Buy Microsoft

 

[jroc74]

As long as they are still investing in AAA games then I'm happy. I don't care about the other stuff lol.

Yeah, this too. They also had a lil blurb in their about PSVR2. I posted the pdf with the transcript.

I think over the next 3 years we may start to see what their overall plans are.

 

[FIREKNIGHT2029]

Yeah, this too. They also had a lil blurb in their about PSVR2. I posted the pdf with the transcript.

I think over the next 3 years we may start to see what their overall plans are.

Awesome. I enjoy PSVR and I'm very happy that they are taking PSVR2 seriously

 

[Rolla]

Sony also realising that subscription services are the future.

I read through the OP and link and it seems they're focus is actual Games and content. While a subscription service might be part of the strategy, it's not their sole focus.

 

[MOTM]

Sony also realising that subscription services are the future.

The only ones who want them to go the Blockbuster route are the actual Sony fanboys lol. Sony is way smarter though.

 

[KingT731]

Sony also realising that subscription services are the future.

Well they do have multple content services like Aniplex, Funimation (Crunchyroll if the deal goes through) and Bravia TV as well as their music and movies. All of that in addition to investing in the PS brand.

 

[El Pistolero]

Capcom is worth 3 bn and has alot of still relevant AAA franchises. Square Enix 2bn, Sega 4 bn. Then you have smaller companies that have many lucrative franchises like Bandai Namco worth half a Bn.

All your numbers are wrong. Both Square and Capcom were around 8 billions last I checked...

 

[rickybooby87]

Seems like Sony could of bought Zenimax at least 2.4 times with that money, I sorta understand why they didn't though, from a business standpoint it wouldn't make all that much sense. Every game up until Starfield/ES6 was already out on their platform.

 

[Clintizzle]

One subscription for Games, TV, Movies and Music.

#TheDream