Sony Eyes Square Relationship

Japanese developer Square made headlines earlier this month when it announced plans to squelch years of bad blood with Nintendo. Specifically, Square announced plans to support the GameBoy Advance and GameCube with software through a new subsidiary entitled Game Developer Studios Ltd. The rift between the companies originated when Square decided to abandon Nintendo's N64 platform and develop software exclusively for Sony's PSone and PlayStation 2 consoles. Following the failure of Square's feature film Final Fantasy: Spirits Within, Sony acquired an estimated 14 percent financial stake in the company, making the Nintendo reconciliation even more unexpected. More intriguing, word out of Tokyo this morning suggests Sony was completely blind-sided by the deal.

Speaking with the Nikkei Shimbun, Sony's public relations director said "We welcome the fact that Square plans to expand profits by supporting the GameBoy Advance, but we questioned any plans to develop Final Fantasy titles for GameCube." When asked about Sony's reaction, Square president Yoichi Wada admitted "We took every precaution prior to the Nintendo announcement, but I don't think Sony was pleased." In fact, Sony Computer Entertainment president Ken Kutaragi was overseas when the announcement was made. The day he returned home, Square executives including Yoichi Wada and Hisashi Suzuki were summoned to Sony headquarters to explain the Nintendo deal in person.

Square's decision to support Nintendo's consoles comes on the heels of another major defection from Sony's camp by Capcom. According to a company spokesperson, Sony president Ken Kutaragi was "extremely disappointed" with Capcom's decision to exclusively support the GameCube with their Biohazard series.

News source: Xen Gamers

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