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Tag: Sony Computer Entertainment

  • Sony Sells Tokyo Building For $1.2 Billion

    Last month, Sony sold its Madison Avenue headquarters building in New York for $1.1 Billion. The sale netted the electronics manufacturer around $770 million in cash, which the company needs as it various divisions (electronics, motion pictures, music, video games) have begun to feel the financial crunch of the past few years as well as increased competition from companies such as Samsung. Since Sony’s offices in the building will not be moving, it’s clear that Sony needed some quick cash to prop up its earnings.

    Today, Sony announced that it has sold yet another of its buildings. Its Sony City Osaki building in Tokyo has been sold to Nippon Building Fund Inc. and an unnamed “Japanese institutional investor” for ¥111.1 billion, or around $1.2 billion. The deal was very similar to the Madison Avenue sale, and Sony will be leasing its current space in the building for five years.

    Sony has stated the sales are part of a reorganization of its assets “in an effor to strengthen its corporate structure.” In other words, they needed the money.

    Why does Sony need all of this quick cash? To keep investors happy is another easy answer, but to speculate, as the company nears production of the recently announced (and powerful) PlayStation 4, it could be preparing to take a loss on each console in order to challenge Microsoft in the U.S. home video game console market.

  • Sony Sells Its Madison Avenue Headquarters For $1.1 Billion

    Sony Corporation of America this week announced that it has sold its Madison Avenue headquarters building. The building, located at 550 Madison Avenue in New York City, has been sold to a consortium led by The Chetrit Group, the owner of commercial properties in New York City and “other major U.S. real estate markets.”

    The headquarters was sold for $1.1 billion. but Sony will be paying transaction costs and repaying debt related to the building. Sony is expected to walk away from the deal with $770 million in net cash. The company announced that it expects around $685 million of that to be recorded as operating income. The transaction is expected to be complete sometime in March of this year.

    Sony’s reason for the sale is relatively straightforward: it needs the cash. From Sony’s announcement:

    Sony is undertaking a range of initiatives to strengthen its financial foundation and business competitiveness and for future growth. At the same time, Sony is balancing cash inflows and outflows while working to improve its cash flow by carefully selecting investments, selling assets and strengthening control of working capital such as inventory. This sale is made as a part of such initiatives.

    Though it won’t own the building any more, Sony won’t be going anywhere for a while. Sony Music Entertainment, Sony/ATV Music Publishing, Sony Pictures Entertainment, and other Sony companies will lease space in the building for “up to three years” under a leaseback agreement with the consortium who bought the building.

  • Sony Reportedly Saves WipEout IP [RUMOR]

    Sony Reportedly Saves WipEout IP [RUMOR]

    The rumors began this morning when cryptic messages showed up on the Twitter and Facebook accounts of the WipEout 2048 videogame. The messages simply read “WE. ARE. ALIVE.” and were accompanied by the above artwork. Speculation ranged from Sony’s Studio Liverpool being saved, to a new WipEout game in the works.

    Now, The Market for Computer & Video Games (MCV) has reported that the WipEout IP has been given to Evolution Studios. Evolution is a British developer known for the World Rally Championship and MotorStorm games for PlayStation consoles. MCV cites an unnamed “source close to the matter” as saying Evolution will have control of the WipEout franchise. After publishing its story, however, subsequent unnamed sources have told them that Evolution will not be the studio in charge of WipEout.

    Whoever ends up in charge of WipEout, it does seem clear today that the WipEout franchise has been saved. A recent message on the WipEout 2048 Facebook page reassures fans that they will still be able to play online and that “WipEout‘s passion will live on…” From the Facebook post:

    Good afternoon Pilots

    As you may be aware; Studio Liverpool shut its doors on the 22nd of August 2012.

    It was a very sad day- the end of an era and will never be forgotten. While we wait for news on the future of WipEout, Online play will continue to be supported and there will be plenty of WipEout community events, giveaways and goodies to look forward to!

    WipEout’s passion will live on – Together we are stronger and together we will keep WipEout alive.

    WE ♥ WO!

    Though speculation was that Sony’s Studio Liverpool had been resurrected, that sadly doesn’t seem to be the case. The studio was shuttered back on August 22nd as a part of Sony restructuring its European development studios.

  • Sony Announces it Will Close Studio Liverpool

    It seems to be that time of year in the gaming industry. It’s the calm before the storm of the holiday shopping season, and titles simply aren’t being released. Studio heads are no doubt looking through their accounts with gathering worry. Just in the past week, PopCap games has announced it is laying off 50 employees, and OnLive restructured its entire company, laying off half of its staff and giving the finger to its former investors.

    Today, Sony Computer Entertainment announced that it will be closing Studio Liverpool, and that its resources will be put into other studios. A statement from Sony said this about the closing:

    As part of SCE Worldwide Studios, we do regular reviews to ensure that the resources we have can create and produce high quality, innovative and commercially viable projects in an increasingly competitive market place. As part of this process, we have reviewed and assessed all current and planned projects for the short and medium term and have decided to make some changes to our European Studios.

    It has been decided that Liverpool Studio should be closed. Liverpool Studio has been an important part of SCE Worldwide Studios since the outset of PlayStation, and have contributed greatly to PlayStation over the years. Everyone connected with Liverpool Studio, past and present, can be very proud of their achievements.

    Studio Liverpool posted the picture you see above to the WipEout 2048 Facebook page, as well as the following farewell message:

    As some of you may have heard Sony have chosen to close Studio Liverpool as of today. This page will no longer be maintained by the WipEout Team.

    We have loved making every game, every minute and every one of you. Keep the faith, keep loving WipEout.

    Thank you for everything, Pilots. It’s been an amazing journey and we’ll miss you.
    x

    Studio Liverpool was most known for the Formula One and Wipeout series of games. It is unclear at this time whether these franchises will survive the closing.