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[Varteras]

Gearbox owner Embracer says it plans to continue its $8bn acquisition spree | VGC

The company has made 62 acquisitions since 2020…

www.videogameschronicle.com

Since the start of 2020, the Swedish company has made 62 acquisitions at a cost of $8.1 billion.

And CEO Lars Wingefors reportedly told the Financial Times that he plans to make a similar number of acquisitions in the coming months and years.

Embracer, which has a market valuation of $9.9 billion, has 115 internal game development studios and 10 operating groups including THQ Nordic, Koch Media/Deep Silver, Saber Interactive and Gearbox Software.

“If you can make one game, you have a big business risk but if you make 200 games, like we do, the business risk is less,” he said.

More in the article! Sounds like Embracer is trying to make sure Tencent has nothing left to buy if Sony and Microsoft don't pick it up

 

[Bo_Hazem]

Some are biting more than what they can chew. Few years from now we gonna see the collapse of some. Games won't make themselves, they need tens or hundreds of millions each.

 

[Varteras]

Some are biting more than what they can chew. Few years from now we gonna see the collapse of some. Games not gonna make themselves, they need tens or hundreds of millions each.

With that many studios at that company value, I am super curious to know what their development budgets look like.

 

[John Wick]

Gearbox owner Embracer says it plans to continue its $8bn acquisition spree | VGC

The company has made 62 acquisitions since 2020…

www.videogameschronicle.com

More in the article! Sounds like Embracer is trying to make sure Tencent has nothing left to buy if Sony and Microsoft don't pick it up

Except Tencent have got far more money

 

[legacy24]

62? the hell

 

[SSfox]

Everyone talking about $$$ or acquisitions, but when it comes to deliver real dope games they all become handicapped, what a weird era...

 

[Max_Po]

 

[AJUMP23]

This is liking hugging the lady in Elden Ring, she embraces you and then kills some folks.

 

[remember_spinal]

9.9 billion total evaluation? Thats about the size of a big publisher, i dont think tencent, microsoft, or sony are concerned with Embracer.

 

[BennyBlanco]

115 internal game development studios and 10 operating group

what could possibly go wrong?

 

[niilokin]

I'm up for acquisition

 

[SEGA_2012]

They should give back to SEGA all the money they spent to make that shitty Alien game

 

[Adam_802]

They should shut down gearbox if they actually want to do some good.

 

[ksdixon]

Christ. Between MS, Embracer, NetEase and TenCent already, Sony cant afford to sit on their asses. To say nothing of companies like Amazon, Apple, Disney, Facebook, Google's attempta or aspirations at buying-in.

 

[Craig of War]

What is embracer end game? most of these small studios they buy won't even release a game

 

[akaFullmetal]

This was what tons of people we're asking for, not realizing what it means when we consolidate. Companies buying buying up companies, making the pool of developers smaller and smaller. Less variety, less risk. I just don't see it as a good thing overall.

 

[Varteras]

What is embracer end game? most of these small studios they buy won't even release a game

I think their CEO actually told us right in the article. I think their goal is to have so many teams producing so many games that some of them are bound to be hits. Flood the market with tons of games from your hundreds of studios. Some of your teams like Gearbox, 4A, and Volition will do the heavier lifting. Some teams produce lower budget but known franchises. Meanwhile, your tons of smaller teams just throw shit at a wall and see what sticks.

 

[Raphael]

So they took over 8bln worth of studios and their total valuation is 10 bln? Where did the 8 bln for the aquistions came from then?

 

[Varteras]

So they took over 8bln worth of studios and their total valuation is 10 bln? Where did the 8 bln for the aquistions came from then?

 

[Daytonabot]

Damn it. Gearbox still doesn't have a Steam page, so I can't proactively ignore everything they touch.

 

[BlueHawk357]

Ugh. I just want Apple to gobble up Embracer group already.

 

[ParaSeoul]

Just 8 billion? good thing they got squares ip's for dirt cheap