China Electronics Wholesaler

It's no secret the videogames market in Japan is shrinking (both in sales and in games, where handhelds and cell phones reign supreme), while the market in the US and Europe continue to expand. That makes it no surprise to learn that Square Enix (according to the Financial Times) is seeking a partner in the US and Europe to help the company expand its portfolio internationally, with the goal being to have 50% of their overall revenue coming from outside of Japan in three years.

"We need to seek cooperation with a US publisher -- we need local content," Michihiro Sasaki, senior VP of Square Enix, told theFinancial Times at Tokyo Game Show last week. "Our strength is in role-playing games and fantasy titles, so it is a bit difficult to appeal to the US market."

Currently, only 10-20% of their revenues comes outside of Japan. "Within two to three years we want to make it half," said Sasaki.

Square Enix recently licensed the Unreal Engine 3 for use in its forthcoming The Last Remnant for Xbox 360 and PS3, which is being designed to appeal to both Japanese and Western audiences. Can we expect to see similar approaches from them in the future? Seems that way, but here's a pro-tip: if you want more revenue coming from outside of Japan, please stop reviving old, fan-favorite franchises with cell phone games.