Report: Sony in Talks to Acquire Kadokawa, Parent Company of Elden Ring Dev FromSoftware

Given the situation the industry has been experiencing during 2024, with many studio closures and worker layoffs, it seemed that studio purchases were beginning to become increasingly rare. In fact, although there have been some other moves by studios, the last big move was Microsoft’s purchase of Activision Blizzard. However, Sony seems to be preparing a major one.

According to Reuters, Sony is in talks to buy Kadokawa, the parent company of studios such as FromSoftware, among others. Talks to close the deal are reportedly underway right now, and if successful, it could be finalized in the coming weeks.

PlayStation’s purchase of Kadokawa could be a really important blow to the industry, as franchises such as Dark Souls, Elden Ring, or Armored Core have been some of the most significant in recent years, thanks to the great work done by Hidetaka Miyazaki’s team, which has even earned him the first GOTY nomination in history with an expansion.

However, the purchase of Kadokawa goes far beyond video games. The publishing group, founded in 1945, currently owns a large number of manga and anime IPs. It should be remembered that just a year ago, Sony announced the purchase of Crunchyroll, which allowed it to become practically the most important company in terms of anime worldwide. If the acquisition of Kadokawa were to take place, Sony’s control of the industry would be practically total.

Currently, Kadokawa owns the majority of FromSoftware with a 69.66% stake, while Sony and Tencent hold 14.09% and 16.25% of FromSoftware, respectively. Additionally, Sony already owns 2% of Kadokawa itself. If Sony completes the purchase of Kadokawa, it will gain full control of FromSoftware. However, the true value of this acquisition lies in Kadokawa’s extensive anime and manga IPs. Sony may also continue releasing FromSoftware games on multiple platforms, similar to its strategy with Bungie.

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