Bandai Namco’s Decision to Cancel Five Games: A Focus on Quality

The gaming industry is a dynamic and ever-evolving landscape, with new titles being released regularly. However, for every successful game, there are those that fail to meet expectations or encounter unforeseen challenges during development. In the case of Bandai Namco, the publisher behind popular titles like Elden Ring and Armored Core VI: Fires of Rubicon, the decision to cancel five games in the works has been a significant move to help the company overcome a significant drop in income over the last year.

The financial results for the third quarter ending in December 2023 painted a grim picture for Bandai Namco, with income for the company’s digital division falling by over 96% compared to 2022. Net sales also fell by just shy of 9%. The primary reason for this decline was the immense success of Elden Ring in 2022. While Armored Core 6 was popular, it simply couldn’t match the popularity of Elden Ring. Spin-offs from popular anime series like Dragon Ball and One Piece also held steady but couldn’t make up for the Elden Ring-shaped hole in last year’s releases.

However, the cancellation of five games was not a hasty decision. The games were evaluated against Bandai Namco’s internal rules for in-development titles. The representative from Bandai Namco explained during a recent Q&A session that the decision was made due to their “higher than expected” development costs. The longer development period for games also meant that the time from investment to payback was lengthening. In response, Bandai Namco changed their development structure, setting stricter standards for proceeding with development and narrowing down titles. They are also considering the best way to optimize their titles by classification, such as strategic worldwide titles and casual titles for light users.

The cancellation of these games is not a new phenomenon in the gaming industry. Publishers often cancel games due to various reasons, including financial difficulties, development challenges, or changes in market conditions. However, the decision to cancel five games is a significant move for Bandai Namco, especially after the success of Elden Ring. The focus on quality and optimizing titles is a positive step for the company, as it allows them to allocate resources more effectively and ensure that their future releases meet the expectations of their audience.

The cancellation of these games also raises questions about the development process and the role of publishers in the gaming industry. The longer development periods and higher costs of creating games have become a challenge for many publishers, leading to a focus on quality and optimizing their titles. The cancellation of these games also highlights the importance of effective project management and risk assessment in the gaming industry.

Despite the challenges, the gaming industry continues to thrive, with new titles being released regularly. The cancellation of these five games is a setback for Bandai Namco, but it also presents an opportunity for the company to refocus its efforts and ensure that its future releases meet the expectations of its audience. The decision to cancel these games and focus on quality is a positive step for the company, and it will be interesting to see how this approach impacts their future releases.

In conclusion, the decision by Bandai Namco to cancel five games in the works is a significant move to help the company overcome a significant drop in income over the last year. The focus on quality and optimizing titles is a positive step for the company, and it will be interesting to see how this approach impacts their future releases. The cancellation of these games also raises questions about the development process and the role of publishers in the gaming industry, highlighting the importance of effective project management and risk assessment. The gaming industry continues to evolve, and the cancellation of these games is a reminder that even the most successful companies face challenges and must adapt to changing market conditions.