Square won't invest recent sale into blockchain and NFT

finefluff

Good news. Square announced that none of the 300 million dollars raised from the recent sale of some of their IPs will be invested into blockchain or NFT.

“Rather than using the proceeds from the divestiture in new investment domains such as NFT and blockchain, we intend to use them primarily to fund our efforts to foster solid IP and to enhance our development capabilities in our core Digital Entertainment segment.”

"We want to focus on creating new titles that align with our strategy, including ones that leverage new IP."

i.e., NFT games aren't aligned with their strategy.

https://www.videogameschronicle.com/news/square-enix-says-crystal-dynamics-and-eidos-sale-wont-be-invested-in-nfts-and-blockchain/

Kyleran

Wait, game developers who still focus on making games first, and not on monetization?

I might have to buy some of their titles just to show support even if not ones I'm likely to ever play.

I can always give them to my son. 

kitarad

Wah Class!!!

bcbully

finefluff said:

Good news. Square announced that none of the 300 million dollars raised from the recent sale of some of their IPs will be invested into blockchain or NFT.

“Rather than using the proceeds from the divestiture in new investment domains such as NFT and blockchain, we intend to use them primarily to fund our efforts to foster solid IP and to enhance our development capabilities in our core Digital Entertainment segment.”

"We want to focus on creating new titles that align with our strategy, including ones that leverage new IP."

i.e., NFT games aren't aligned with their strategy.

https://www.videogameschronicle.com/news/square-enix-says-crystal-dynamics-and-eidos-sale-wont-be-invested-in-nfts-and-blockchain/

Full quote for context -

“Rather than using the proceeds from the divestiture in new investment domains such as NFT and blockchain, we intend to use them primarily to fund our efforts to foster solid IP and to enhance our development capabilities in our core Digital Entertainment segment,” he said.

“Our intention is to undertake fundraising efforts for our new investment domains separate from those for our core business, and we are considering various possibilities, including potentially establishing a CVC.”

Makes a lot of sense to me. I mean what are they gonna do build a chain? I'm not even sure how a company would invest 300 million into NFTs. Go buy some Apes? 

Web 3 sounds very much inline with Square Enix's strategy. Going as to establish a venture capital wing to invest further than they already have. 

finefluff

bcbully said:

finefluff said:

Good news. Square announced that none of the 300 million dollars raised from the recent sale of some of their IPs will be invested into blockchain or NFT.

“Rather than using the proceeds from the divestiture in new investment domains such as NFT and blockchain, we intend to use them primarily to fund our efforts to foster solid IP and to enhance our development capabilities in our core Digital Entertainment segment.”

"We want to focus on creating new titles that align with our strategy, including ones that leverage new IP."

i.e., NFT games aren't aligned with their strategy.

https://www.videogameschronicle.com/news/square-enix-says-crystal-dynamics-and-eidos-sale-wont-be-invested-in-nfts-and-blockchain/

Full quote for context -

“Rather than using the proceeds from the divestiture in new investment domains such as NFT and blockchain, we intend to use them primarily to fund our efforts to foster solid IP and to enhance our development capabilities in our core Digital Entertainment segment,” he said.

“Our intention is to undertake fundraising efforts for our new investment domains separate from those for our core business, and we are considering various possibilities, including potentially establishing a CVC.”

Makes a lot of sense to me. I mean what are they gonna do build a chain? I'm not even sure how a company would invest 300 million into NFTs. Go buy some Apes? 

Uh they could invest millions into developing new NFT games like The Red Village. They could even invest just a portion. Instead, they will invest NONE. 

"undertake fundraising"... "potentially establishing a CVC"... They don't believe in it and don't see it as part of their core business going forward.

maskedweasel

Square Enix "strategy" has been to create new ips and make live service games. That was their short term strategy based on their investor site. 

Blockchain is part of their r&d budget along with vr. Segments they invest in but probably won't flat out build resources for. They're going to invest money in projects and lend IPs probably for several years. They already have lent an ip in a partnership, I wouldn't put it past them to do it a lot more. 

JungleHeart

This article is similar to the topic. I'm glad Yoshi-P is actually resisting this. Couple the move to pursue NFT and Square Enix's continued apprehension to support western markets (making games exclusive for the Japanese-majority PS5 only and disregarding Xbox), I think it's a bad move.

https://blog.playerauctions.com/featured/ffxiv-resists-nfts-despite-pressure-from-square-enix/

Tamaradrake

JungleHeart said:

This article is similar to the topic. I'm glad Yoshi-P is actually resisting this. Couple the move to pursue NFT and Square Enix's continued apprehension to support western markets (making games exclusive for the Japanese-majority PS5 only and disregarding Xbox), I think it's a bad move. Monkey Cool

https://blog.playerauctions.com/featured/ffxiv-resists-nfts-despite-pressure-from-square-enix/

I just want say that Square Enix has said that money raised from the sale of a large part of its western development arm won’t be reinvested in NFTs and blockchain.

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etlar

An informative video about Nfts