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Capcom’s Stance: No Interest in Being Acquired by Xbox

Capcom’s Stance: No Interest in Being Acquired by Xbox

Capcom has enjoyed remarkable success in the video game industry over the years. Throughout its extensive history, the company has meticulously cultivated a diverse portfolio of franchises, showcasing legendary titles such as Resident Evil, Monster Hunter, and Street Fighter.

The accomplishments of these high-profile projects have bolstered Capcom’s reputation within the industry, rendering it an attractive candidate for potential acquisition. However, the company appears to be disinterested in the prospect of being acquired by Xbox or any other entity.

Why is this important? 

Capcom’s statement regarding its lack of interest in acquisition reflects a steadfast commitment to preserving its independence and creative autonomy.

Capcom’s COO articulated this firm stance in a recent interview with Bloomberg. During the interview, Haruhito Tsujimoto was questioned about the company’s stance on mergers and acquisitions. His response provided valuable insights into Capcom’s approach, highlighting that the gaming industry has witnessed numerous discussions surrounding mergers and acquisitions.

He acknowledged that there was a time when Capcom garnered acquisition interest. Nevertheless, rather than pursuing external acquisitions, Tsujimoto emphasized the company’s preference for cultivating organic growth.

He further underscored the importance of nurturing and developing talent from within the company to execute its growth initiatives. While he recognized the potential advantages of collaborating with external partners, Tsujimoto firmly stated that Capcom had no intentions of engaging in outright company acquisitions.

Furthermore, when queried about the hypothetical scenario of a company like Microsoft expressing interest in acquiring Capcom, Tsujimoto’s response conveyed a clear vision. He articulated that he would politely decline such an offer, underscoring his belief in the value of an equitable partnership rather than opting for a one-sided acquisition.

Acquisitions are a well-established practice in the video game industry, and recent developments, especially those involving Xbox, have garnered increased attention for these corporate activities. In 2021, Microsoft acquired Bethesda, and it is currently in the process of acquiring Activision Blizzard. Sony has also joined this trend by acquiring Bungie in 2022.

Amidst the backdrop of numerous companies engaging in the acquisition game, Capcom’s disinterest becomes more evident and understandable. Its recent financial statements reveal impressively high-profit margins. In the second quarter of 2023, the core digital content business of Capcom experienced robust sales performance. 

Specifically, the company achieved sales of 13.5 million units for its home video game software. This figure represents a substantial increase compared to the 11.7 million units sold during the same period in the previous year. 

This surge in sales has had a notable impact on the overall value and significance of the company’s content division, underscoring its continued growth and success in the video game market.