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Sony Negotiating Acquisition of Kadokawa, Creator of Elden Ring and Dark Souls

Sony Negotiating Acquisition of Kadokawa, Creator of Elden Ring and Dark Souls

Sony’s Potential Acquisition of Kadokawa: What It Means for Gamers

In a noteworthy development within the gaming industry, FromSoftware—the esteemed creator of critically acclaimed franchises such as Dark Souls and Elden Ring—operates under the umbrella of the Japanese media giant Kadokawa Corporation. Recent reports indicate that Sony is in discussions to acquire Kadokawa, with estimates suggesting this deal could reach into the billions. Speculation indicates that the agreement may be finalized within weeks.

The Current Status of Negotiations

According to a report by Reuters, two sources closely monitoring the negotiations confirmed that discussions are actively underway. Notably, Sony already holds a 2% stake in Kadokawa, alongside a more substantial 14% share in FromSoftware, with other investors like Tencent also possessing similar stakes in the company.

Elden Ring’s Success and its Impact

FromSoftware’s latest title, Elden Ring, has proven to be a massive success, having sold over 25 million copies worldwide by June 2024, including 12 million copies sold in the first month alone. The game has not only won the prestigious Game of the Year award but also saw the release of its highly praised expansion, Shadow of the Erdtree, earlier this year, which is currently nominated for this year’s Game of the Year award at The Game Awards.

Potential Implications for Future Releases

If this acquisition proceeds, it could result in future FromSoftware titles becoming PlayStation exclusives, potentially excluding Xbox consoles from hosting these games. However, it is likely that PC versions may still be developed, albeit with delayed releases, following Sony’s trend of porting its exclusives to PC platforms.

Kadokawa’s Broader Industry Impact

Kadokawa’s portfolio also includes well-known game studios such as Spike Chunsoft (famous for Danganronpa), Aside (known for Octopath Traveler), and Gotcha Gotcha Games (creator of RPG Maker). The acquisition could bolster Sony’s entertainment ventures, particularly in Japan, where they boast a vast array of subsidiaries across various media formats, including television, film, manga, and anime.

Awaiting Official Confirmation

As of now, both Sony and Kadokawa have not responded to Reuters’ requests for comments regarding the ongoing negotiations. Therefore, while the interest from Sony appears substantial, it is prudent to approach this information with caution until an official announcement is made.

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