CEO Interview
Results for Fiscal Year Ended March 31, 2009

May 26, 2009

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Square Enix and global expansion
Framework Complete for Global Group

It seems that EIDOS will be the key to the global strategy from now on.

Wada

Mr. Phil Rogers, EIDOS CEO and his management team and ourselves are not concerned with our mutual positions. Rather, our relationship is now close enough for us to be focused on the practical details of how we are going to proceed in the global market, and on what we need to do to reach the top. At the start of the year I made several visits to the EIDOS studios in various countries. We had the opportunity to conduct in-depth meetings with the principal staff at each studio, and were able to get to know each other very well. We were able to confirm the game development technology and project management level is extremely high, and I feel we are now beginning to get a better picture of where our future strengths lie.

At the Financial Results Briefing Session, you emphasized the importance of having own IP.

Wada

I am convinced that having our own IP will be the key to future growth. With advances in media convergence, too much time would be spent dealing with rights if we didn't have our own IP, and we would not be able to respond quickly enough to changes in the various business models appropriate to different devices and media. Square Enix Group already had such a system in place, so one of our tasks now is to strengthen that system and expand globally.

You have often mentioned the Group's medium- to long-term strategy. How are you going to implement this strategy?

Wada

SQUARE ENIX GROUP

We uphold the following differentiation strategy: creating high brand value; building various interfaces with our customers; and, maintaining affective community management.
To fulfill this strategy, we have tried to diversify our businesses, and increase interfaces with our customers not only on our own, but also through M&A activities such as the acquisition of TAITO. Now we have acquired EIDOS, the framework for the global implementation of this strategy has at last been completed.

I think the game industry, when compared with any other industry, has great potential for future growth. Everyone in Japan is talking about the declining birthrate and the aging society, but the game market is no longer only for children; there are also opportunities to be grasped in serious games. And if you think globally, you see exactly the opposite of a declining birthrate. To create future markets, we will make best use of the strong global foothold afforded by the integration of EIDOS into our Group, and gradually develop products which meet world demands.

(Interviewer: Motoshi Isobe, Journalist.)
Interview conducted on May 19, 2009

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