Square Enix Cancels In-Development Games, Takes Losses
Square Enix, the company known for titles like Final Fantasy XVI and Final Fantasy VII Rebirth, has made a significant decision to cancel some in-development games. This move has resulted in the company facing losses amounting to 22.1 billion Yen, equivalent to around $140 million, for the fiscal year ending in March.
According to a recent release related to Square Enix’s holdings, the company is reevaluating its game development strategy to be more selective in its projects moving forward.
“The Board of Directors of Square Enix Holdings has decided to revise the group’s approach to the development of high-definition (HD) games with the aim of being more selective and focused in the allocation of development resources,” the release stated. As a result, the company is expected to incur approximately 22.1 billion Yen in content abandonment losses for the fiscal year ended March 2024.
While the news of potential game cancellations may seem concerning, it appears that Square Enix is redefining its development focus to ensure that future releases are commercially successful. The decision to cancel around $140 million worth of games indicates a shift towards prioritizing quality and profitability in its game portfolio.
This development follows the recent success of Final Fantasy VII Rebirth, released by Square Enix in February. Additionally, the company is gearing up to launch Final Fantasy XIV: Dawntrail, the latest expansion for the popular MMO, in July, marking the beginning of a new chapter for the game.
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