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Something I found as i was looking through ZAM Follow

#1 Sep 27 2012 at 4:27 PM Rating: Good
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Satyagrahan wrote:
Im in my last semester of my business/accounting program. Part of my capstone class is a big group project in which we had to select an industry and do a huge report on the top 10 firms. The 5 of us decided on video games, since 4 of the 5 of us are guys and all play (ya, we're nerds).

I picked SE and EA as my 2 companies. So I'm researching SE's strategy and financials...and as I was thumbing through their annual report, I came across a few blurbs I thought this player base might enjoy:

Source (notice the Taru from ff14 in the backdrop on page 2 :D)

Quote:
C o r p o r a t e P h i l o s o p h y
To spread happiness across the globe by providing unforgettable experiences
This philosophy represents our company’s mission and the beliefs for which we stand.


Comments from Yoichi Wada, President

Quote:
“FINAL FANTASY XI” has been continuing services for ten
years since its launch, and even if we consider all the server,
operational staffing, and maintenance costs in addition to the
development costs, the accumulated operating profit generated
by the title is close to ¥40 billion*. As a single title, “FINAL
FANTASY XI” has had the highest level of contribution to our
profits. If successful, MMO is a genre where we can achieve
very high profitability. Also, the MMO game market itself has
been growing at a regular pace (Figure 3). At the same time,
development of MMOs is challenging, requiring large initial
investments and deployment of sizable support teams. MMOs
have an extremely high barrier to entry. Thus, our strategy is to
win the fierce battle among a small number of competitors,
creating a supporting rock for the Company’s profit.


*40 Billion Yen is the equivalent of $515m

Regarding FFXIV (most of you have heard some version of these comments already)

Quote:
"FINAL FANTASY XIV” was to
be launched in 2010 in Japan, North America, and Europe, and
then in China from 2011; and “DRAGON QUEST X,” a
DRAGON QUEST MMO, was planned for launch in 2012 in
Japan. However, we stumbled at the launch of “FINAL
FANTASY XIV.” Not only was the FINAL FANTASY brand
damaged, but the Company’s profit planning was undermined,
and deployment of development staff was also affected. This
was a challenging time for the Company, but I stood fast that
we should not change our original plan. In order to revive the
FINAL FANTASY brand and to regain trust in the MMO market,
we chose not to shut down “FINAL FANTASY XIV.” We are
treading the thorny path of continuously improving the existing
service while simultaneously working to renovate the game
fundamentally. Due to the initial stumble, most players had left
the game during the first six months, but more than a year later,
in early 2012, we began charging for the game, and we realized
that the game had regained more trust from our players than we
had expected. The number of players has increased since we
began charging. We have successfully brought the game back
on track. “FINAL FANTASY XIV” is eyeing a full comeback with
the release of its fundamentally revamped version between
2012 and 2013. I am confident that the title will be one of the
main profit generators for us
.


This project is a challenge, but I'm enjoying being able to dig deeper into an industry I've been a consumer of since I was 5 years old. Cheers.

Edited, Sep 27th 2012 9:31am by Satyagrahan

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