Outline of Results Briefing held on November 6, 2014

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I believe the general view towards this market is that various devices are becoming connected to the internet, and the business model is getting increasingly diversified. Meanwhile, AR (augmented reality) and VR (virtual reality) devices are entering the commercialization phase. We too are monitoring this trend with great interest, and considering various initiatives. It is getting more difficult to form a view on the business outlook, with the rapid changes in market environment and the increasing diversity.

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Under these circumstances, our job is to provide exciting and enjoyable content services, which is in line with the pursuit of our core value. This will remain unchanged, regardless of the business environment. In order to do this, it is important to maintain a rich pipeline to respond to the aforementioned changes in market environment, and continuing to provide new services and content.

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There are three key IP policies. First is to strengthen and reboot our existing IPs. We would like to focus on how to utilize the numerous assets of content that we have nurtured so far, and apply them to the latest trend. As for the platform, we would like to use consoles and smart devices in parallel. Just focusing on one platform is not enough. We believe it is significant to serve both platforms, if we are to offer game content and services that appeal to the new generation. The second policy is to create new IPs. I cannot disclose much at this moment, but we are working on various initiatives, including some experimental projects.
So far, we have created IPs for a wide range of platforms, including consoles, smart devices, PCs and publication. Based on this strength, we will actively work on creating new IPs in FY2016/3.
The third IP policy is to collaborate with partner companies. With so much changes going on in the market, we will suffer a big opportunity loss if we try to do everything all by ourselves. Through collaboration, we will utilize the strengths of other companies which we ourselves lack, and grow the size of the business. A good example is “DRAGON QUEST HEROES,” So far, we had not worked on a full-scale action RPG. However, we were able to create a new style for “DRAGON QUEST” through collaboration with Koei Tecmo Games.

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