PlayStation considering new PC investment, mobile push

TOKYO, Oct 4 (Reuters) – Sony Group Corp’s (6758.T) gaming business is considering new investments to bolster its push into PC and mobile, a senior executive said, as the PlayStation 5 maker is competing for talent with deep-pocketed rivals and as industry deals heat up.

“New investment in areas that will bolster expansion across PC, mobile and live services is certainly a possibility for us,” PlayStation Studios head Hermen Hulst told Reuters in an interview without provide more details.

Sony, whose studios are known for single-player console games such as “Spider-Man” and “God of War,” outlined ambitious plans to release titles on PC and mobile and offer live-service games, which offer a continuously updated game.

The sea change is reflected in its recent deals, including the $3.6 billion acquisition of Bungie, the studio behind the “Destiny” multiplayer franchise, which Sony operates outside of its PlayStation Studios network.

Other investments include buying a minority stake in Japanese developer FromSoftware, whose action role-playing game “Elden Ring” has sold more than 16.6 million units.

“You should be thinking about collaborations on the game development side first, but it’s also not out of the question with our efforts at PlayStation Productions that we’re exploring opportunities,” Hulst said of FromSoftware’s investment.

Sony is producing a growing number of game adaptations, with this year’s ‘Uncharted’ movie grossing over $400 million worldwide and a TV series based on its studio Naughty Dog’s ‘The Last of Us’ franchise. launching on HBO next year.

Hulst, who is based in the Netherlands and took over in 2019, has overseen the growth of PlayStation Studios to 19 studios, with additions such as Nixxes, which brings console games to PC, and mobile developer Savage Game. Studios.

KEY DIFFERENTIATOR

Given the scale of transformation targeted by the gaming industry, analysts expect further deals from Sony.

“I think they’re still going to add studios,” said Serkan Toto, founder of consulting firm Kantan Games.

The strength of PlayStation’s studio network has drawn praise as a key differentiator with Xbox maker Microsoft (MSFT.O) trying to buy Activision Blizzard (ATVI.O).

Sony games chief Jim Ryan has raised objections to the potential impact of the $69 billion mega-deal on PlayStation users.

“If Sony can pull off what it’s done with single-player experiences but (as) multiplayer experiences on all platforms, PC, consoles and maybe even phone, then all bets are off,” said said Toto, highlighting the success of online games like Epic Games’ Fortnite.

Sony’s push to other platforms comes as it struggles to produce enough PlayStation 5 units due to supply chain grunts. Its in-house studios are also developing titles for the next-gen PlayStation VR2 headset, which is expected to launch early next year.

Such headsets, which have attracted investment from gamers including Facebook parent Meta (META.O), have yet to break through and become a primary method of playing games. Pricing for the device has not been announced.

While “Horizon Forbidden West”, launched in February, is “open world and not necessarily very suitable for a PSVR2 game”, Sony designs “tailor-made” titles such as “Horizon Call of the Mountain” for the system, Hulst said.

Reporting by Sam Nussey; Editing by Muralikumar Anantharaman

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