Struggles persist with the marathon of PlayStation, as Concord shutters its doors mere weeks after opening, and Sony openly acknowledges that their entire live service strategy is encountering some choppy waters.
Sony's Live Service Strategy Faces Challenges, but the Company Remains Committed
Sony's foray into live service games has been met with some hurdles, as evident by the closure of Concord and the postponement of Marathon. However, the company remains optimistic about its live service plans, with Hermen Hulst, head of Sony Interactive Entertainment, confirming that the company is indeed continuing to invest in new live services.
Regarding Bungie's Marathon, Sony acknowledges the game has been delayed indefinitely but expects it to launch within the current fiscal year ending in April 2026. Bungie, acquired by Sony in 2022, is in the process of deeper integration into PlayStation Studios after initially operating with substantial independence.
The transition to live service games has not been entirely smooth for Sony, as admitted by the CFO Lin Tao. Problems such as the abrupt closure of the live service shooter Concord just two weeks after launch and internal delays of other live service projects have been noted.
Despite these setbacks, Sony's PlayStation division posted a strong operating income rise, partly due to live service content sales. This reinforces the company's strategic commitment to this segment while emphasizing the need to improve quality control and project management before launch.
Successful live service titles like Helldivers 2 and Destiny 2 demonstrate the potential profitability and stable revenue that live service games can bring. Sony plans to learn from its experience to reduce waste and improve future live service content deployment.
From a long-term perspective, Sony sees a change in its live service plans over the past five years. Five years ago, almost none of the live service games that now form a substantial part of PlayStation's portfolio existed. Titles like Helldivers 2, MLB The Show, Gran Turismo 7, and Bungie’s Destiny 2 have contributed steady sales and profits.
The launch of Marathon has been troubled, but Sony believes the problems are being addressed, and the game will be launched. The company is introducing live service content with less waste and smoother operations, aiming to launch Bungie's new FPS game, Marathon, before April 2026.
During the Q&A session following Sony's latest financial results, an update on PlayStation's live service plan was addressed. Sony is continuing to invest in new live services, despite the closure of Concord and ongoing issues with Marathon. The company is learning from its mistakes to improve future offerings.
In summary, Marathon is delayed but expected to release by April 2026; Bungie is moving toward full integration into PlayStation Studios. Sony recognizes the live service strategy has encountered multiple problems, including high-profile cancellations and delays. However, successful live service titles demonstrate potential profitability and stable revenue. Sony plans to learn from its experience to reduce waste and improve future live service content deployment. The launch of Marathon will happen, and Sony is aiming to launch it with less waste and smoother operations.
- Sony is still pushing forward with its live service plans, even after facing challenges such as the closure of Concord and the delay of Marathon.
- The gaming division of Sony posted a strong rise in operating income, partly due to sales of live service content, showing the company's ongoing commitment to this segment.
- Helldivers 2 and Destiny 2 are examples of successful live service titles that bring profitability and stable revenue for Sony.
- Sony is learning from its past mistakes and aims to reduce waste and improve the deployment of future live service content.
- The anticipated launch of Marathon, Bungie's new FPS game, is expected to happen with less waste and smoother operations.
- To boost entertainment offerings, Sony is continuing to invest in new live services, including games, deals, and other technology-related gadgets, all contributing to the growth of PlayStation's portfolio in the entertainment industry.
