After the terrible news of Microsoft deciding to shutter of a bunch of studios dropped back in May, we ended up getting a rare bit of positive 2024 games industry news, as PUBG publisher Krafton swooped in to buy the studio and the Hi-Fi Rush IP.
Now, speaking to Game Developer about reasons behind the “last minute deal”, Krafton CEO Changhan ‘CH’ Kim has painted an interesting picture, suggesting that it wasn’t about trying to take on a series and studio the publisher was definitively sure could make it a nice profit, but rather adding more creativity to its portfolio so it’s better suited to try and hit home runs development-wise.
“We wanted to maintain their legacy,” Kim said of acquiring Tango, “Although they did not have a big success in their games, we saw many creatives worth pursuing. That’s why we wanted to work with that organization.” “Because Hi-Fi Rush fans really want to see sequels, we negotiated with Tango Gameworks’ parent company to acquire that IP as well,” he added.
Openly saying that some of Tango’s previous titles “may not even have broken even”, and that the deal to buy it was “not too expensive, or too cheap either”, the CEO outlined that “trying to increase our portfolio lineup” was a part of the reason Krafton went to the effort to buy the studio.
“We can’t acquire Tango Gameworks based on their financials or their numbers, right? We don’t think Hi-Fi Rush 2 is going to make us money, to be frank,” Kim said, “But it’s part of our attempt. We have to keep trying in the spirit of challenge-taking. Tango Gameworks [is] creative. They want to try something new, and we want to do more of that. [Making] video games is really a hit or miss industry, and that is risk taking. But having more project lineups is actually a way to mitigate risk, because one of them might work out.”
“The IP itself was very fresh [and featured] new types of gameplay. I know it’s not a game a lot of studios were making, and we have to keep trying [that approach],” he continued, “Just recoup the production costs, please, is what I say. But that in itself is a pretty big challenge. If you try doing that, you might actually land a big hit. I don’t trust people who say ‘oh, this is going to be a hit.’ I want someone who can try something new.”
Trying to shoot for the stars by being creative and not shackling every game to an obligation to earn the publisher a profit, as long as it doesn’t make a loss. It’s certainly an admirable approach in theory, even if all the bits about Krafton openly admitting it’s just bought a thing it isn’t 100% sure can make it cash in the near future are weird things to come out of a big CEO’s mouth, especially in 2024.
What do you think of the approach Kim’s laid out, and would you be keen to buy a Hi-Fi Rush sequel? Let us know below!
