Is Capcom Going The Way of the Dinosaurs?

#1 Posted by jakob187 (21676 posts) -

With news coming out that THQ is suffering some heavy losses and facing delisted status from NASDAQ, it seems like just another publisher falling to the wayside and dying off in the same way that Midway and others did.

However, reports are coming out that Capcom is reporting a...get ready for it...52.6% loss in profits. As if that weren't bad enough, overall revenue is down by almost 26%.

I remember reading an article from Game Informer a little while ago (I believe it was in the South Park issue) that talked specifically about Capcom and this sort of weird flux that they exist in. They are an old company (one of the originals in console development) that has all of these great franchises and characters...and fails to actually adapt them into either new games or games that can appeal to Western audiences. Bionic Commando didn't do well (despite the fact that I personally enjoyed the game). Mega Man has basically been treated like an abused stepchild thanks to Capcom's pissiness that Inafune left (which that article specifically stated that Inafune leaving is part of the reason Capcom is so fucking stale anyways).

Now that Capcom is essentially relying on "guaranteed" sales on things like Resident Evil games and off-shoots as well as fighting games in order to try and make any form of money, the question I have is this...

Is there any way that Capcom can actually come out of the crapper, or is it time that they handed off their IPs to another publisher who can give them the attention they deserve?

Sure, Capcom has been working pretty fervently as of late to appeal to the Western market (Dragon's Dogma, fighting games, Dead Rising 2 being developed by Blue Castle, Bionic Commando was developed by GRIN, etc). However, nothing seems to be breaching it for them. Are Capcom's games too "Eastern" to be received well in the West from a sales standpoint?

Source: http://www.capcom.co.jp/ir/english/data/html/result/2011/3rd/1.html

#2 Edited by Sooty (8082 posts) -

Your game isn't titled Call of Duty? No Rockstar logo on the box? It doesn't have multiplayer? It isn't 'hardcore'?

No sales for you. (the sad thing is this sweeping statement is actually true quite often, I'm looking at you Rayman)

I blame Call of Duty, no really. This is no indication of that fanbase (ok it sort of is) but the amount of people I know or have crossed paths with that only play Call of Duty and FIFA until the next yearly instalment of those series comes out is crazy.

People don't want originality or anything different. It's all about the guns and persistent levelling, man.

#3 Edited by TechHits (1380 posts) -

Capcom will never sell off their IP's. In the very unlikely event Capcom went bankrupt, they would most likely be bought by a larger publisher. Then that publisher would continue to release games under the Capcom umbrella. Capcom as a brand will never disappear as long as their is people that are nostalgic about their franchises.

#4 Posted by Hailinel (24977 posts) -

Despite Inafune's claims, it was never an east vs. west thing. The failures of Bionic Commando and Dark Void reflect that. Any company, wherever they are, will largely rely on what works for them in order to make money.

#5 Edited by UnrealDP (1223 posts) -

@Sooty said:

Your game isn't titled Call of Duty? No Rockstar logo on the box? It doesn't have multiplayer? It isn't 'hardcore'?

No sales for you. (the sad thing is this sweeping statement is actually true quite often, I'm looking at you Rayman)

I blame Call of Duty, no really. This is no indication of that fanbase (ok it sort of is) but the amount of people I know or have crossed paths with that only play Call of Duty and FIFA until the next yearly instalment of those series comes out is crazy.

People don't want originality or anything different. It's all about the guns and persistent levelling, man.

Pretty sure Rayman not selling had something more to do with coming out at the worst possible time. Literally looking at a calendar, you could not find a worse week to release that game.... just saying.

#6 Edited by Sooty (8082 posts) -

@UnrealDP said:

@Sooty said:

Your game isn't titled Call of Duty? No Rockstar logo on the box? It doesn't have multiplayer? It isn't 'hardcore'?

No sales for you. (the sad thing is this sweeping statement is actually true quite often, I'm looking at you Rayman)

I blame Call of Duty, no really. This is no indication of that fanbase (ok it sort of is) but the amount of people I know or have crossed paths with that only play Call of Duty and FIFA until the next yearly instalment of those series comes out is crazy.

People don't want originality or anything different. It's all about the guns and persistent levelling, man.

Pretty sure Rayman not selling had something more do do with coming out at the worst possible time. Literally looking at a calendar, you could not find a worse week to release that game.... just saying.

Oh yeah that too. Publishers still think the end of the year is a good time to release 'ALL THE THINGS'

I think I have a point with most of what I said though, it's pretty sad.

#7 Posted by MikeGosot (3227 posts) -
@Sooty said:

Your game isn't titled Call of Duty? No Rockstar logo on the box? It doesn't have multiplayer? It isn't 'hardcore'?

No sales for you. (the sad thing is this sweeping statement is actually true quite often, I'm looking at you Rayman)

I blame Call of Duty, no really. This is no indication of that fanbase (ok it sort of is) but the amount of people I know or have crossed paths with that only play Call of Duty and FIFA until the next yearly instalment of those series comes out is crazy.

People don't want originality or anything different. It's all about the guns and persistent levelling, man.

Are you Brazilian? Here in Brazil we have this saying among 'gamers': "Most brazilians buy a console only to play FIFA and Call Of Duty."
#8 Posted by CaptainCody (1508 posts) -

Maybe Capcom could stop shitting out games and start making some.

#9 Posted by IBurningStar (2173 posts) -
@UnrealDP said:

@Sooty said:

Your game isn't titled Call of Duty? No Rockstar logo on the box? It doesn't have multiplayer? It isn't 'hardcore'?

No sales for you. (the sad thing is this sweeping statement is actually true quite often, I'm looking at you Rayman)

I blame Call of Duty, no really. This is no indication of that fanbase (ok it sort of is) but the amount of people I know or have crossed paths with that only play Call of Duty and FIFA until the next yearly instalment of those series comes out is crazy.

People don't want originality or anything different. It's all about the guns and persistent levelling, man.

Pretty sure Rayman not selling had something more do do with coming out at the worst possible time. Literally looking at a calendar, you could not find a worse week to release that game.... just saying.

Yeah, they sent Rayman out to die. That really is the only explanation for why it was released when it was. It didn't help that they did next to zero advertising for it. 
 
Capcom has enough IPs to capitalize on and certainly has a strong fan base. They just aren't releasing products that those people care about. They also are struggling to develop new IPs as well. Darkvoid could have been great, however the game feels halfway finished and seems there should be more there but they just ran out of time or money and had to cut corners. Lost Planet could have been cool, but they have that series the Dino Crisis treatment by releasing a sequel that is nothing like the original. Also, that sequel sucks. (I'm referring to Dino Crisis 3 here, not 2.)
 
The way they handle DLC for there games is fucking atrocious. I'm not sure if I have a real valid point to make this with, I just wanted to say that it is really shitty.
#10 Posted by kingzetta (4307 posts) -

They have like 8 games this year so, no.

#11 Posted by zudthespud (3281 posts) -

I really, really wanted this thread to be speculation about a new Dino Crisis game.

#12 Edited by iPliskin (117 posts) -

I sure hope so, that's what they should get for destroying my beloved RE games.

#13 Posted by phrali (646 posts) -

@Sooty said:

I blame Call of Duty, no really.

Capcom has its own set of problems and a track record of stupid decisions and pissing off its fans. and releasing stupid ultimate super marvel v capcom 7 for 10 bucks less than ultimate super marvel capcom 6 which came out like 2 days ago.

and if cod is stealing capcom's consumers, whose fault is that?

maybe capcom should be expected to release something that people want to play, rather than expect people that like cod to stop playing it because you don't like it.

i'm still pissed at them for turning RE5 into a retarded escort mission with an escortee with suicidal brain dead AI. and that has NOTHING to do with cod.

#14 Posted by Stackboy (503 posts) -

Buuuh buuuh buuuuhhh......Street Fighter?

#15 Posted by kingzetta (4307 posts) -
@phrali: I never mad a problem once with the AI
#16 Posted by scarace360 (4828 posts) -

Capcom i think i know what you need to do. Guile needs an M16.

#17 Posted by jakob187 (21676 posts) -

@Hailinel said:

Despite Inafune's claims, it was never an east vs. west thing. The failures of Bionic Commando and Dark Void reflect that. Any company, wherever they are, will largely rely on what works for them in order to make money.

Despite Inafune's claims...and Ben Judd's...and Mark MacDonald...and many others in the industry who specifically say that it's because Capcom is not capable of fully appealing to the Western audience and it's virtually killing Capcom at the moment.

It's the biggest reason that Capcom is trying to make a Western-based RPG (Dragon's Dogma) as well as trying to shove Asura's Wrath down everyone's throat. There are even places that are saying that Resident Evil 6's announcement and release date are rushed because of Capcom falling flat on their ass from having to rely so heavily on Resident Evil and fighting games for any types of sales numbers in the West...

...and even those are shrinking because people are sick of the bullshit.

@kingzetta said:

They have like 8 games this year so, no.

They have eight games, but how many of them will be high profile sellers? I mean, if you look at the earnings call in general, they pointed out that DESPITE MONSTER HUNTER SELLING SHITLOADS OF COPIES, they are reporting a 52% PROFIT LOSS! It doesn't matter how many games are coming out, especially when...lo and behold...three of them are Resident Evil games that they NEED to have big numbers on and another one is...lo and behold...a Street Fighter X Tekken game that they are relying on getting some sales from.

In turn, they now have five games, two of which are original IPs and frankly look mediocre at best. Everything I've seen for Dragon's Dogma makes me think "I'd rather play Dark Souls or Skyrim" and everything I've seen and played of the demo for Asura's Wrath makes me think "I want to play a game, not watch one". With they appeal to Western audiences? We'll see, but I don't feel any type of marketing behind those games right now AT ALL.

_____________________________________

Also, let's not overlook the slaps in the face that Capcom has been issuing out to people, specifically when it comes to Mega Man. First, there's the cancellation of a game that people were genuinely psyched about - Mega Man Legends 3, and that is followed by an incredibly backhanded and insulting tweet to the community. After that, you have the fat cover art version of Mega Man showing up as a special character in Street Fighter X Tekken, which many have seen as a backhanded comment to those who want Mega Man in MvC games. Beyond that, you also have everything that was happening with Resident Evil Revelations (the price hike which finally got reduced, the "no used copies" thing, etc).

If anything, Capcom is doing everything they can to push fans AWAY right now. They are oversaturating the Resident Evil franchise, they are treating a treasured franchise like Mega Man as if it's just a piece of trash waiting to be taken out, and they are pushing new IPs that seem to have only a niche interest.

As for the idea of them merging, it wouldn't be with Square Enix. SE is already in pretty deep with the buyout of Eidos (or merge, whatever the fuck it was). If anything, I would expect someone like Konami to take a look at that portfolio, as they are a company with a LOT of "Just Dance" money sitting around to spend on something. They are a company that severely needs to expand their portfolio as well, since the only things that will give them almost any form of "guaranteed" sales are Just Dance, Castlevania, and anything with Metal Gear in the name. The problem in that, however, is that a Konami-Capcom merger would only be powerful IN THE EAST. One of the biggest reasons that Square Enix picked up Eidos was because it gave them a Western market share back which they had lost.

I mean, how many people even realize that Eastern appeal in Western market share has reduced down to about 10% over the last 10 years?

#18 Posted by kingzetta (4307 posts) -
@jakob187: NIS had a 90% loss two years ago and they are still a company, don't worry.
#19 Posted by Hailinel (24977 posts) -
@jakob187 Except Inafune left Capcom, screwing over a project he had his heart set on, and Ben Judd hasn't been heard from much since Bionic Commando tanked.
#20 Posted by CounterShock (420 posts) -

I could be talking out of my ass, but isn't Dragons Dogma supposed to be the most expensive game that they've made? If things like that are true, then yeah, Capcom could be in some trouble. Aside from their current situation.

#21 Edited by sopranosfan (1935 posts) -

They are idiots. In my opinion they are this decade's EA just making one stupid decision after another trying to maximize profit all the while driving away the customers they need to make a profit. From the charging for the multiplayer component of Resident Evil 5 and in all honesty general shittyness of all their DLC to the one file save on Resident Evil Mercenaries. To not listening to the fans enough and then swinging too far the other direction and listening too much. Seriously I don't look forward to anything Capcom does anymore until I hear that it is actually good. I think they can turn it around though because I used to feel the same way about EA after a long run of stupid decisions but they started turning things around about 4 or 5 years ago and now I enjoy a lot of their games.

#22 Posted by Hailinel (24977 posts) -

@CounterShock said:

I could be talking out of my ass, but isn't Dragons Dogma supposed to be the most expensive game that they've made? If things like that are true, then yeah, Capcom could be in some trouble. Aside from their current situation.

I don't know about most expensive, but from what I understand, the development team is among the largest they've had on a single project.

#23 Edited by Lionx (1 posts) -

@LMFAOGuy

I agree with everything you said. Don't forget to add on the crappy PC support they have despite them agreeing to support all platforms that they could. Releasing SFIV 6 months after release of the console version, same with their Arcade Edition (even their 2012 PATCH is 3 months late). No DLCs for Resident Evil 5 PC owners (I know many hate it, but I love it. I do understand where everyone is coming from though and wish it wasn't a main numbered series.). A delay on Raccoon City, RE6, and SFxT for the PC development section as well as DRM being considered for SFIV Arcade Edition at start.

Comon guys, really? You wonder why people are jaded about your shit?

#24 Posted by MethodMan008 (814 posts) -

Capcom is my favorite developer... So I hope not.

#25 Posted by Contrarian (1143 posts) -

If they are a buyout target at some point, maybe one of the big 3 console makers would look at it. It would give them some very nice exclusives. Personally, I hope Nintendo buy them then maybe Sony, but not Microsoft. Nintendo should have bought up Sega at the time of their troubles, it would have suited them perfectly and Sonic would have been better for it.

#26 Posted by BoG (5191 posts) -

Breath of Fire VI.

That wouldn't help them much, but I'd love to play it.

#27 Posted by Contrarian (1143 posts) -

@BoG said:

Breath of Fire VI.

That wouldn't help them much, but I'd love to play it.

Same here.

#28 Posted by Tan (425 posts) -

They didn't put Megaman in UMvC3, you really think they'd do that if they were in trouble?

#29 Posted by TooWalrus (13220 posts) -

Hey man- dinosaurs are makin' a comeback!

#30 Posted by Killroycantkill (1409 posts) -

Capcom makes good games, they just have to be more careful of their social image I feel. All these DRM issues, new versions of games in the same year, and spending money on developing games like Dark Void to appeal to the west. I think Capcom needs to stick to games that they're good at, which to me is, crazy Japanese shit. Fighting games, RE games, new IPs that aren't trying to be overly western. They should play to their strength rather than trying to gain new ones, at least until they start making a profit again.

#31 Edited by SoldierG654342 (1771 posts) -

Capcom needs to treat it's fans better, and Capcom fans need to demand it. Between the MvC3 bait and switch, the Mercenaries debacle, and the gigantic middle-fingers it's given the Mega Man community, I'm not surprised to hear they're hurting.

#32 Edited by jakob187 (21676 posts) -

@kingzetta said:

@jakob187: NIS had a 90% loss two years ago and they are still a company, don't worry.

NIS is also a much smaller niche company. Recovering from a 90% loss for a smaller company like them is much different than an international, globally-recognized publisher that ranks within the top 10 in the world. Therefore, let's make a much fairer comparison...

@Hailinel said:

@jakob187 Except Inafune left Capcom, screwing over a project he had his heart set on, and Ben Judd hasn't been heard from much since Bionic Commando tanked.

It doesn't matter. The point is that they know the inner workings of Capcom, and what they are spitting is truth. It's not like they are saying "YO FUCK CAPCOM DAWG I'MA BEAST THIS SHIT WORD UP RAY-RAY". They are hoping and wishing for the best out of Capcom, and they can easily look into their own experiences much better than some fucking analyst and say "look, shit's kind of fucked up over there and they are driving themselves into the ground, and I hate seeing it happen".

Therefore, I don't think it matters who left and what tanked. If anything, I think people give Bionic Commando WAY MORE shit than it honestly deserves. I will NEVER understand the hate for that game.

#33 Posted by Doctorchimp (4076 posts) -

@jakob187: It's not an Eastern vs Western thing...

If they focused on just making one thing that worked that didn't feel like they were bleeding consumers and made the controls not shit they would be raking in money.

#34 Posted by LordXavierBritish (6320 posts) -

I thought this was going to be about Dino Crisis.

#35 Posted by Aetheldod (3594 posts) -

Lets get this straight ... they lost 52% overall or they are not making those 52% but still making profit? If they still are making cash out of their investments well they are not in red numbers , altho it is a huge loss they still are getting money so I dont see the big drama. The stuff with Capcom is that they always had a small portfolio just like Konami or can you guys list anything more than the usual from these studios? Also lets remember that games in the 90s were a lot cheaper to make , so their small portfolio wasnt a bad thing. They should stop trying to "cater" to western audiences , they will never make a good "westerne" type of game so why bother? They should stop doing all the Resident Evils (they stoped being good games since Veronica) and try to make new IPs , japanese ones. Also they should lower their scopes , like someone mentioned , they wont make an COD hit , as sad as that is.

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