Boss to step down amid talk of "extraordinary" financial losses
Following in the footsteps of Electronic Arts' John Riccitiello, it seems Yoichi Wada will be the next executive taking the fall for a major game publisher's failings. Surrounded by talk of "extraordinary" financial losses, Square Enix's president is set to resign.
Publicly, the company is blaming "slow sales of major console game titles in North American and European markets," as well as a "sluggish performance" in the arcade sector. The losses are said to be in the region of ten billion yen, with Square Enix expecting to reduce its earnings forecast from a 3.5 billion yen profit to a 13 billion yen loss.
Yosuke Matsuda is expected to take the boss' chair in June.
Square Enix's situation is a good example of the total shambles the console industry is finding itself in. With EA and Square both revealing just how little their cash-grab scheming has worked, it's clear that no company is too big to fail -- and the biggest may indeed fall hardest.