Japan’s historically grown game companies are global superpowers
Shrinking traditional home video game software market and paradigm shift to online games, network games and mobile games forces consolidation
Japan’s mobile game software companies are global superpowers. They are all historically grown and linked to other industry sectors, such as characters, arcade games, pachinko (pinball parlor) machines. Japan game software industry consolidation is driven by an emerging paradigm shift from traditional home video games to a new world of online games, network games and mobile games.
Landslide shift underway to network games, online games and mobile games
While the market for traditional home video gamesoftware is rapidly shrinking, a landslide shift is underway to network games, online games and mobile games.
These changes bring consolidation. Some recent mergers are:
- Bandai acquires Namco
- SEGA (game arcades) and Sammy (pachinko) merge
- Takara and TOMY merge
- Role playing game leader Square-Enix (itself a merger of Square and Enix) acquires the larger TAITO
The Square-Enix deal is particularly interesting because it underlines the Japanese preference for role playing games.
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