Square Enix president Yoichi Wada resigns amid 'extraordinary loss'

Square Enix president steps down following announcement of expected 10 billion yen loss.

Square Enix president Yoichi Wada has resigned from the company.

Yoichi Wada, whose long-running career in the games industry saw him become Square Enix president in 2000, will be replaced by Yosuke Matsuda. Wada will also no longer serve as a representative director to the company, though it was not said if he was leaving Square Enix entirely.

The resignation follows the announcement that the company expects to make an "extraordinary loss" in revenue for the current financial year, ending March 31.

Slow sales of titles in America and Europe are the problem, said Square Enix. The publisher's most recent title was the critically successful reboot of Tomb Raider, and in 2012 it released Hitman: Absolution, Sleeping Dogs, Quantum Conundrum, and Heroes of Ruin.

The performance of these titles has triggered Square Enix to undergo major restructuring of its development policy, organisational structure, and business models. Due to the costs of this restructuring, Square Enix expects to post a loss of 10 billion yen for the financial year ending March 31.

Right now Square Enix is working on Lightning Returns: Final Fantasy XIII and HD versions of Final Fantasy X and X-2, and promised a new Final Fantasy announcement at E3 2013. The company also recently revealed Eidos Montreal's next-gen Thief reboot, which is due for release in 2014.

Matsuda has been working for Square Enix since 2001, when he joined the company as a senior vice president. His promotion to president is subject to a resolution by Square Enix's board of directors, who will convene after the company's 33rd annual general meeting of shareholders in June.

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Discussion

777 comments
wolfmgs
wolfmgs

now we can say bye to FF VERSUS :(

Eraldus
Eraldus

Maybe now we'll get some really decent FF games again, like the good old ones...


The chances are slim, but meh... one can hope.

Klyern
Klyern

The problem with the article is that it does not explain that on average, if you ignore inflation and coin value etc, 100 yen would translate to 1 dollar, so since the yen is stronger than the dollar, aproximatelly, this would mean the company lost OVER 100 million dollars.

I guess its to be expected that he would step down, if there was a second time people would be out looking for blood.

KalumAFC
KalumAFC

Stuff like this is heart-breaking. Deus Ex: Human Revolution, Tomb Raider and Sleeping Dogs were all critically acclaimed. Yet they sell like atleast 1 million copies less than expected. And to everyone saying remake Final Fantasy VII, it'll cost far too much money and time to remake it. All the textures, sprites, animations etc would have to be redone. They would need to hire voice actors, they'd need to change quite a bit of dialogue, cutscenes would need redoing. It wouldn't be a simple remastering like FFX HD, it would literally be on the same scale as a reboot. I hope Square Enix can turn this around with Lightning Returns, Thief 4 and FFXIV: ARR. 

kithirris
kithirris

You would think that they might've posted over a 10b yen gain if they had simply released that Final Fantasy 7 remake everyone has been clamoring for for over a decade.  They don't listen to their fans, and they lose money.  I don't feel bad for them.  I used to love these guys, too.  

rkelll48
rkelll48

In my honest opinion, square enix hasn't really been releasing many quality games since late 2007

the decision to keep working with TERRIBLE games like FFXIII was an incredibly bad business decision made by the company
tomb raider had a lot of potential, but too many drastic changes were made from the original series..i guess people don't respond well to that kind of thing??

racerxgundam
racerxgundam

I admit to being a knee pad wearing square enix tool...in general they are one of my fav companies out there but they SCREW the american consumers out of exclusives/remakes all the time!!! yet i still like these dudes. I agree with anyone out there that the last few rounds of titles aren't that great..but final fantasy 12 and The World Ends With You are prolly the two most slept on games i can remember...never seem to get the credit they deserve. 

They release and i will throw money at their faces...all the while not releasing things like the kingdom hearts final mixes, the retooled FF12, or any of the cool promotional items they shell out. Hell why can't we get some of those cool FF themed zippo lighters here?

I feel like they are the girlfriend that like is mean to me and cheats like crazy but i can't break up...looks too dam good in knee highs and too fun to ride!

bojox3m
bojox3m

if Square Enix focused on their RPGs they will earn millions. Imagine, Every year there is a final fantasy.

onixevil
onixevil

Just hire the original Square Soft team and shut down the unnecessary games you develop it for unnecessary platforms . One more thing you should stop doing trailers that cost more than what it should deliver to audience .We  need to see a video  of game play .

WidoMantis
WidoMantis

I hope they can finally listen to the fan's comments on sustaining their existing fans rather than seeking new totally different markets...

Fire all the unnecessary Square Enix mobile/psp/DS teams alongside with hitman/tombrider/etc teams and focus on the games you are good at ... and stop trying to make final fantasy a suitable game for the whole world... you already have a big slice of RPG fans... but you are losing them to smaller companies and not gaining any new fans from other divisions...


well who would ever read that from SE anyway.

Stephen2282
Stephen2282

A good game like Final Fantasy Versus 13 or KH3 with DEPTHS that should be released as soon as possible will probably save the company. I will not forgive SE forever in my life if they go bankrupt before they release these 2 titles!

Rheinmetal
Rheinmetal

Can they shut down this company for good?

Cloud310
Cloud310

HD remake of FFX and FFX-2 is a start. How about giving us a real jrpg this gen. I'm not interested in a game that takes 10 hours to beat I want to sweat for that awesome, graphically beautiful ending that SE does well in many of their games. Time and time again I find myself playing older games lately than anything that came out in the past 4 years. Games now are missing that detailed enthralling story and only pass by with awesome graphics alone. Give me a story that I want to watch, believe in, trap myself into and lose sleep over SE. If that's not the marketable attraction that developers are looking for then maybe gaming at it's core is lost.

AQWBlaZer91
AQWBlaZer91

But will that stop them from devlopping the rest of the the terriable games they have planned.

AQWBlaZer91
AQWBlaZer91

Well finally that stupid president of Square Enix stepping down from development of these games.

kohle36
kohle36

Meh, good riddance. SE has gone all to s%^$ under this guy's watch, they'd be hard pressed to do any worse.

Run_2_the_Hills
Run_2_the_Hills

time for a FFVII remake to pull them out of the water 10 times over.

Kanethedragon
Kanethedragon

Hopefully with this there'll be less Hitman and all the other stuff that they're not used to. When I want shooters, I go to companies like Bioware and Bungie, when I want RPGs I go to companies  like Square and Bamco and NIS and Ninten. Point is don't try to do something you're not good at, cause so far there are few Japanese games that I can name off my head that are shooters and are good, and they're mostly horror/gore games.

Ledah
Ledah

Just wait to see Lightning Returns sell rates, I don't think it will get any better.

pcty
pcty

Steps to increase revenue:

1 - Develope social, casual, easy and cheap iOS/Android games.

2 - Make a generic FPS.

3 - Sell U$15,00 DLCs.

4 - ?????

5 - Profit.

tim1935
tim1935

Maybe he should've smiled more

torres_unix
torres_unix

If they stop making games people don't want to play, they may be able to bounce back.  At this point, if I were CEO I'd be seriously considering a Final Fantasy VII remix/remake/update.

Fritzzland
Fritzzland

Fair and square? They had it coming...

TheEveryMan
TheEveryMan

The man jumped when the ship started to sink lol, we clearly know he had no compassion to make the company get back on its feet.

Cappuccin0
Cappuccin0

The numbers don't lie, this guy came into the company and almost drove it to the ground. I just hope the next chief fixes his stupid decisions, like denying the appeal of a FF7 remake, ignoring the fans' pleas for Kingdom Hearts 3 on consoles, and refusing to release Kingdom Hearts BBS and Crisis Core on PSN... not to mention letting Sakaguchi go.

bongsyas_23
bongsyas_23

Western rpgs > Jrpgs

the real reason why he stepped down

TrueProphecy22
TrueProphecy22

"Yoichi Wada, whose long-running career in the games industry saw him become Square Enix president in 2000..." 


Is that right...

EminentFate
EminentFate

If the board of directors agreed upon this Matsuda guy as Wada's successor, expect him to be equally out of touch (if not more) with the fanbase.

xeoneex66
xeoneex66

Jee I didn't see THIS coming at ALL.. *sarcasm off* Seroiusly ShitEnix has been crap since they BECAME ShitEnix.  Final fantasy 10, 13 and its pathetic sequal, and then the failbomb that is, and will always be notFinal Fantasy 14.  I can honestly say there is nothing, since the old days of Final Fantasy, that have even piqued my interest for this thankfully dying company.  Take Crapcom with you while you're at it.  They killed Mega Man off and shoo'ed it's creator out the door.  No one will miss you.  *waves bye bye*

JudgeAustin
JudgeAustin

Make multiplatform FF games which aren't linear tosh like FFXIII and its sequel and there would probably be no problem... 

amdreallyfast
amdreallyfast

@Eraldus You know, the series was called Final Fantasy, supposedly, because Square going bankrupt and they were going to make one last game.  So they decided to ditch the action games that had failed them and go for a story-based fantasy game for the Famicon.  It seems that the crucible of hard times is sometimes necessary to pull the gold out of the dirt, metaphorically speaking.  Square is currently focusing on multiple FF titles that many people don't want.  It's like they lost their vision of what the series could be.  I see Square either falling into obscurity, or someone rises to the occasion and takes them in a new direction.

tsunami2311
tsunami2311

@KalumAFC FF7 will never happen cause there will never be FF games that sells more FF7 which is why they said they would only do it when a current FF games sells more. with the track they been on as of late, they know that wont happen, just like everyone else knows, which why they said that instead of actual saying it wont happen. It was there way give us hope where there was none

There to obsessed with making terrible spin off and FF games that are nothing like the FF games that put them back in business.

Dagus0323
Dagus0323

@KalumAFC you essentially walked into my brain and stole my comment before i could post it.

Dagus0323
Dagus0323

@onixevil to many people are doing overly cinematic trailers that have nothing to do with gameplay lol. its always funny to see it happen especially in MMOs. but if anyone is going to do cinematics, it'll be square.

OldDirtyCR
OldDirtyCR

@WidoMantis Mobile is the money maker. Why the hell would they fire those teams? That's where the low dev costs + high profit is coming from. Completely idiotic to get rid of one of the best ROI divisions in house.


Your idea about the RPG fans makes no sense. They obviously don't have a big slice of RPG fans because the games are not selling enough. Why would they focus on pleasing a small market and essentially lessen their sales of the game due to the target market shrinking. At this point the only thing that'll drive sales is expanding their target market and making their games enjoyable by everyone.


Let's pretend everyone who bought FFXIII was a SE fan. Those sales still weren't enough. So simply maintaining those numbers isn't going to do it. Your argument doesn't make sense.The slice of RPG fans is not great enough at this point.


A company reporting huge losses is not going to shrink back and target niche markets. The person that made that decision would get fired in the blink of an eye. I beg you to leave business decisions to people that actually know business. You cannot make business decisions purely off nostalgia or simply because you don't like something (like mobile games). It's about $$$.

elancion
elancion

@bongsyas_23  thats bs  dragons dogma and dark souls alone kick any western rpg's arse right now. the combat system alone on those 2 games i mentioned are whomping the ish out of every western rpg out on consoles.

Jebril
Jebril

@bongsyas_23 It used to be the other way but Bethesda and Bioware have really stepped up their games.

elancion
elancion

@JudgeAustin no multiplat, thats what got em into this mess in th first place. ff13 would of been a better title and more thoughtout game , versus would of came out a while ago,and we would be seeing gamplay footage of kingdom hearts 3 right now.

Albaficas
Albaficas

@JudgeAustin Make sony EXCLUSIVEs FF games which aren't linear tosh like FFXIII and its sequel and there would probably be no problem


FIXED

swyg
swyg

@elancion Dark souls is developed by a Japanese company

voljin1987
voljin1987

@elancion both the games you mentioned have mechanics based off western rpgs... by jrpgs we mean games like final fantasy, ni no kuni etc.. games which traditionally have turn based combat, random encounters etc.

JudgeAustin
JudgeAustin

@elancion They originally worked on the SNES, before PS. There is nothing wrong with crossing platforms it is the games themselves which are failing. Mistwalker managed to produce a perfectly good RPG in Lost Odyssey on the 360. So why can't Square? 

elancion
elancion

@JudgeAustin @Albaficas it sure didnt hurt em last gen. games like hit man and tomb raider fine multiplat those. but ff and other action rpgs titles made from square-enix japan go with sony all the way baby.and throw a few nintendo's way (stick with the folks that put you on the map).cause effing microsoft led to their doom. call it karma if you will, but ff on xbox just didn't seem right.