Square Enix says $300 million Embracer deal lets it proceed with blockchain investment
Square Enix has been among the gaming groups that isn't shying away from interest in NFT and play-to-earn concepts.
Throughout the NFT craze, as gaming companies have dipped their toes in the water with consumers and either stuck with investment in play-to-earn games and blockchain technology or backed off due to backlash, Square Enix has been one that isn’t backing off of the trend. In fact, with the recent sale of various studios to the Embracer Group, it plans to use the sizable amount of cash to partially pursue investment in that very thing. A part of that $300 million USD will go towards investment in blockchain technology.
Square Enix disclosed this intention in a press release following the announcement of the Embracer Group acquisition deal that would see Crystal Dynamics, Eidos, Square Enix Montreal, and a large collection of IP fall under Embracer’s control. Embracer put up a hefty sum of $300 million for the deal and Square Enix’s press release directly addresses how that money will be used.
“In addition, the Transaction enables the launch of new businesses by moving forward with investments in fields including blockchain, AI, and the cloud,” the release reads.
The press release goes on to say that Square Enix as a whole will likely go through some reorganization as it sheds the studios specified in the Embracer deal.
Notably, Square Enix has shared that where other companies have backed off of NFT and blockchain investment due to fan backlash, it intends to move forward with the technology. We still don’t know what this will entail, but with a cash influx inbound, it seems Square Enix is set to pursue this priority soon.
There’s a lot of questions that remain to be answered from the Square Enix/Embracer deal, check out our feature breaking down the matter as we await further details on what Square Enix’s blockchain investment plans entail.
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