When it comes to the gaming industry, exclusivity is a double-edged sword. Jacob Navok, who once wore the crown as the head of Square Enix’s Shinra Technologies – yes, it’s an actual company, feel free to look it up – recently unleashed a cascade of opinions concerning the practices and strategies of his erstwhile employer, Square Enix. At the center of the discussion? The exclusivity of Final Fantasy XVI to Sony’s PlayStation 5.
Digging deeper into the annals of Navok’s insights, one comes across an intriguing assertion. “The issue that I see is an issue that all of the industry should be cognizant of, which is the risk of console exclusives when you have a principal-agent problem,” Navok articulated.
In layman’s terms, Navok underscored the choices Sony made to bolster FF16 as a console exclusive, which might not be in line with Square Enix’s broader objectives. Specifically, Square Enix’s inability to trumpet the game’s forthcoming PC port was, in Navok’s assessment, a step that would favor Sony more than Square Enix.
I was quoted in @stephentotilo's excellent Axios newsletter today. I wanted to reinforce my strong disagreement with the position taken by analysts and quoted by former staff in this month's @business piece on Square Enix.
To start, as a reminder, I reported directly to two…
— Jacob Navok (@JNavok) September 25, 2023
However, exclusivity isn’t Navok’s only concern. In a spirited defense against critics, he argued against the prevalent and false narrative that a slew of poorly reviewed games from Square Enix was the root of the problem. He believes that the failures, like the underwhelming reviews for Babylon’s Fall, didn’t tarnish the brilliance and success of FF16.
As per Navok, it’s commendable to take risks in the gaming world, but perhaps the spotlight should’ve shone brighter on marquee titles. He even makes a comparison between Call of Duty and Skylanders game to further accentuate his point.
But Navok wasn’t done. Taking to Twitter, he went on to lavish praise on Sony for their resounding success with the PS5. However, he highlighted a key aspect: the role of third parties like Square Enix in harnessing success on a platform like PS5. According to Navok, a game’s larger success narrative is painted when multiple platforms champion it, drumming up anticipation and demand.
By all means, FF16 was, by all means, a success, both critically and commercially. Rather, what Navok is arguing about, in his own words, is that “platform exclusivity in 2023 is harming more than it helps.” He adds that “an FF title having its latest gameplay revealed in another State of Play doesn’t expand the audience. But Xbox putting out billboards for your title in Times Square can drive more awardness (even if it probably leads to sales on PS rather than Xbox, this is still good for SQEX).
Navok isn’t alone in his sentiments about exclusivity. A huge reason why FF16 was review bombed following its release was because it wasn’t available on other platforms.
Although FF16 is eventually coming to the PC (and maybe even the Xbox), with a plethora of high-quality games that’s constantly flooding the market today, gamers are unlikely to wait for prolonged periods to play a title exclusive to one particular platform. They would either purchase it immediately or await its release on their preferred platform. Perhaps this explains why, Final Fantasy 15, which was easily a relatively weak entry but ended up setting a launch sales record for the franchise, did so good – it was marketed for all gamers even though the vast majority of its sales still came on the PlayStation.
So, basically, the gist is that, the combined marketing efforts of Xbox and Sony would’ve enjoyed a much higher sales figures for Final Fantasy 16 – and he’s right.
Don’t forget that the market will only become more competitive. This year might feel like it stands as a lone exception. After all, it’s not always that you get The Legend of Zelda: Tears of the Kingdom and Baldur’s Gate 3 in the same year. But, between the lineup of exclusives Microsoft, Sony, and Nintendo all have in store for the rest of the decade, it’s up to independent studios like Square Enix to survive, and the best way to do it is to go the multiplatform route. Perhaps, in the future, Square Enix will walk the same path as Capcom and Bandai Namco, which have embraced multi-platform releases right from the onset.
Already, we’re seeing signs of shorter exclusivity windows for upcoming Square Enix titles, starting with Final Fantasy 7 Rebirth. At this rate, the next mainline Final Fantasy game will likely be available on the PC, Xbox, AND the PlayStation, all at the same time.
Of course, this remains pure speculation. We’re still waiting for news about the third game in the FF7 Remake trilogy as well as the rumored remakes of Final Fantasy 9, Final Fantasy X, and Final Fantasy Tactics.
Either way, as the gaming industry evolves, it remains to be seen how titans like Square Enix navigate these tumultuous waters, balancing business interests with the desires and expectations of their ardent fan base.
