Microsoft (not) buying Capcom?

The official story: "Microsoft does not comment on rumors or speculation." -- Microsoft rep. As for Capcom...see below

What we heard: It's no secret that Microsoft wants to break into the Japanese game market--badly. When the Xbox 360 launched in late 2005, it allocated a third of its launch stock to the island nation--where half of it gathered dust on store shelves while bored shopkeepers stood by picking their noses.

Microsoft has also tried the software approach, hiring Japanese game-design legends such as Final Fantasy creator Hironobu Sakaguchi and Space Channel mastermind Tetsuya Mizuguchi to make Xbox 360 exclusives. Unfortunately, the latter's first effort, Ninety-Nine Nights, fizzled on both sides of the Pacific. However, the former's debut, Blue Dragon, fared as well as an Xbox 360 game can in Japan, given the platform's limited base. It sold more than 80,000 units in its first four days on the Japanese market last fall.

Still, Microsoft hasn't spent tens of millions in Japan to eke out modest hits. So the fact that it might opt to acquire a major Japanese publisher seems perfectly plausible, given its near-bottomless bank account. Thus was spawned this week's top rumor, which had Microsoft buying Capcom, the developer-publisher behind the Resident Evil series, outright.

Sure, it makes sense. Capcom has made two critically acclaimed Xbox 360 games, Dead Rising and Lost Planet: Extreme Condition. (Look for the latter's review on GameSpot later today.) And Microsoft is flush with cash--$35 billion in reserves as of last summer, according to Reuters. So why not drop a relatively small chunk of change to take on Sony and Nintendo on their home turf?

However, plausibility does not equal reality. And in this case, the reality is that, for the time being, Microsoft is not buying Capcom. Apparently this latest orgy of speculation is an ancient rumor, resurrected by a Japanese blog promising a "On January 11th in game industry large announcement," according to a clunky Babel Fish translation. That, in turn, prompted a huge forum thread on the new Gaming Age forums, the Star Wars cantina of game gossip, which led to another post on the EvilAvatar forums, a top virtual water cooler for the overexcited gamer. Then came RSS feeds, rampant content poaching and...well, you do the math.

While Microsoft quickly raised its boilerplate defense shields (Q: "Is the world flat?" A: "Microsoft does not comment on rumors or speculation."), Capcom was more forthcoming. "It's a 3-year-old rumor, most likely refueled by our recent spate of 360 titles," a rep told GameSpot.

Bogus or not bogus?: BOGUS. "No soup for you! You come back, one year!"

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power of Green 5229d ago

Ok!, ok!, i use to think MS saying "Microsoft does not comment on rumors or speculation" meant is was a for sure thing, then i changed my mind untill the truth about the third 360 SKU came out with some truth to it; "point being" i'm back on the "Microsoft does not comment on rumors or speculation" as meaning yes bandwagon. MS's says "NO" when not true and " Microsoft does not comment on rumors or speculation" when mostly true.

XboxKing5229d ago

My sister works for MS and she would say "your right" but we will see is MS gets Capcom

FFVIIFan5229d ago

I think its just a bad idea in general for MS/Sony/Nintendo to buy third party developers. Now, it isn't a bad idea for the big corps as they eliminate competition and increase their own profits, but it isn't good for the gaming community. For the first time since Sony has taken dominance, there is a real consule war going on. For us gamers we're going to see great games coming out on both sides to try to win us over. Multiply that with the fact for increased game production and developers spending money and time wisely to win our wallets instead of just shoving out another Bionicle Lego game. Regardless of what consule you support, this battle is great for gamers because we're gona get some kick a** games, and that's what we all what. If MS/Sony/Nintendo every dominate like the later two have done in the past, we'll miss out on creativity. Capcom has shown they support MS, so I'm hoping MS just stays content with the games they are getting from them (It's not like they're bad games) so Capcom can still make games for the PS3 and Wii.

BIadestarX5229d ago

" but it isn't good for the gaming community" I would agree if Japan would not be so bias against microsoft. What did Sony had to do to get exclusive titles like Metal Gear and Final Fantansy? Nothing, since kojima and square are considered Sony fanboys. Japanese developers do not want to make games for the 360; probably with the valid point that there arent enough consoles to turn a profit. well, if microsoft owns their @$$e$ than, they wouldn't have to worry about it. It's ok for Sony to get all this exclusive content and, "It is good for the industry", but it is not ok for microsoft to do the same. Microsoft have to beg and give lots of incentives and money for Japanese developers to make games for the 360, something that Sony has the luxury of not having to do. Why should microsoft continue to give money to developer instead of buying them? A company like microsoft which suffers of so much bias and hate has to do what they have to do to survive. I say buy their @$$e$. and once they own the IPs fired the entire staff! Just kidding. lol

FFVIIFan5229d ago

But I think taking steps with games like Blue Dragon will improve their position. I think Japanese gamers are really keen on history, and Sony and Nintendo has delivered for them. If MS continues to give the market the games they're looking for they'll gain ground.

I know what you're saying about Konami and Square-Enix, but they're not owned by Sony, even if they're practically in bed with them. I'm sure they'll start developing for the 360 if it keeps gaining a wide audience here in America.

Again, it makes sense for MS to buy the IPs, but I really wish they didn't. I want the competition to drive the video game market, not the MS or Sony stock.

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