Business of Esports – Is There A Changing Of The Tide In The Gaming Space?

It’s possible that things might be changing in the gaming space. This comes after three major companies recently made announcements regarding the current state of their businesses as well as what their future plans might be.

Up first was video game publisher Embracer Group AB. The organization announced that it would be shutting down Studio Onoma just months after it was acquired by Embracer. This is an incredibly interesting development because Embracer recently spent millions of dollars rebranding the studio to Onoma from Square Enix Montréal.

A representative for Embracer confirmed this closure and revealed the move would likely impact about 200 employees. Thankfully, sources said that some staffers would be transferred to Eidos Montréal, the organization’s sister studio.

Shortly after that, Capcom also made headlines after the company published an English translation of its Q2 2022 Q&A session. During this conversation, Capcom management announced that the company’s PC presence had been flourishing. In fact, PC video games made up 50% of all units sold during the three-month period that ran from July 2022 to September 2022.

Finally, Take-Two Interactive shares fell on November 8th after the company posted “weaker-than-expected” Q2 earnings as described by the Gwinnett Daily Post. In the same announcement, Take-Two revealed that it is expecting full-year bookings to be between $5.4 billion and $5.5 billion. This is actually down from the original forecast which predicted the company would bring in $5.8 billion to $5.9 billion during the 2022 fiscal year.

“We’re guiding down because things have materialized in a way that’s different than our expectations,” said Take-Two CEO Strauss Zelnick.

(All information was provided by <a href="https://www.bloomberg.com/news/articles/2022-11-01/embracer-group-shuts-down-montreal-video-game-studio#xj4y7vzkg”>Bloomberg, Gematsu, <a href="https://www.gwinnettdailypost.com/arena/take-two-stock-dives-on-q3-earnings-miss-weak-video-game-sales-outlook/article_77ac9a94-76eb-5b87-afb8-827272361830.html”>Gwinnett Daily Post, and <a href="https://www.tweaktown.com/news/89286/50-of-capcoms-game-sales-now-come-from-pc/index.html”>TweakTown)