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Operations

Member
Oct 29, 2017
1,174
The head of the Japanese games group behind the hit Final Fantasy series has warned that Covid-19 has caused "time to stand still" on production of new titles, threatening to undermine an industry boost from global lockdowns.

Yosuke Matsuda, chief executive of Square Enix, told the Financial Times in an interview that while the $145bn sector had benefited from people spending more time at home due to coronavirus lockdowns, social distancing restrictions had hit development pipelines for new games.

"There is also a considerable impact on the production side. It will resonate in the future. What we are selling now may have provided some positive aspects, but on the negative side time has stood still in terms of production. We couldn't develop anything. That is where the impact will come," said Mr Matsuda, whose company has annual revenues of $2.5bn.

https://on.ft.com/3dFrExU

Some sort of impact was to be expected though I admit I didn't think it would be this drastic.
 

bloodyroarx

The Fallen
Oct 27, 2017
3,850
Ontario, Canada
iirc it was widely reported most Japan had no idea/infrastructure how to transition to a work from home scenario.

It really doesnt surprise me this was the case, I assume there will be a lul in Japanese game releases for a time cause of this.
 

unicornKnight

▲ Legend ▲
Member
Oct 27, 2017
13,159
Athens, Greece
We can't expect everyone to adapt quickly working from home. There were companies doing this before covid but it's not easy for everyone. As a software engineer I can tell you our productivity fell dramatically in my (ex) company. For the first couple of months most projects just froze and we were only supporting our current functionality. Eventually we started slowly moving on with our in progress projects but the pace was significantly reduced.
 

mugurumakensei

Elizabeth, I’m coming to join you!
Member
Oct 25, 2017
11,320
yeah if you hadn't previously set up the tech and process for work from home , it's going to requirement time to adjust back to productivity. Unfortunately, most Japanese companies have not.
 

Kalentan

Member
Oct 25, 2017
44,590
I wonder if specific teams had an easier time transitioning to WFH.

FF14 development slowed and resulted in a delay but AFAIK never completely stopped.
 

tiebreaker

Member
Oct 25, 2017
12,109
That's unfortunate but understandable.

Maybe they can paper their lack of new releases with ports or remasters.
 

NuFrontier

Member
Apr 19, 2020
319
As someone who resides in Japan, I can certainly understand Matsuda's perspective. Japan as a nation, has been traditionally an office based country, where most citizens travel to work on a daily basis. With this current pandemic in place, it has now forced most people to reconsider their options and in this case, rethink their approach to creating a proper work environment.

A work-from-home (or telework as they call it here in Japan) scenario is often tough since it's just culturally been engrained in the minds of Japanese to work in an office environment. It's more like a group think mentality and something that I personally feel Japan needs to adapt to, but I think as a whole it's affecting everyone in some way or another.
 

Nightengale

Member
Oct 26, 2017
5,708
Malaysia
It's been said since early on that given Japan's work culture, they would be one of the most impacted countries in terms of transitioning to WFH and it's been very apparent imo, from Nintendo to others.
 

Deleted member 54216

User requested account closure
Banned
Feb 26, 2019
927
Square Enix is a big publisher, no?

Why does it seem like that all the other big Studios were able to get most of the work done at home?
 

mozbar

Member
Feb 20, 2018
856
I wouldn't be surprised. A lot of companies work style here was almost completely at odds with remote work. There have been a lot of changes in many places, but some people dislike remote work (even the 20-30 year old demographic).

Source: I teach many clients (technical) English in Ginza. Some of them are in the game industry. Anecdotal, I know.
 

Seijuro

Member
Oct 25, 2017
3,858
So the ripple effect is gonna really show in a few months/ next 1 - 3 years time probably? I assume most of the products and games releasing now had to have been mostly done or so far in develeopment when Covid hit really big, that they pooled resources to finish what they can and release as soon as they can.
But I can see 2021, 2022 getting pretty grim for fans of japanese games.
 

Yuntu

Prophet of Regret
Member
Nov 7, 2019
10,663
Germany
I always thought people underestimated the impact it had on development. Even in the west.
 

Serene

Community Resettler
Member
Oct 25, 2017
52,485
Of all the big publishers, I am most surprised that Ubisoft has been able to mostly weather the effects of COVID so far. They are still getting two pretty huge games out before the end of the year and have Far Cry early next. And that's before you consider they have to deal with the added logistical nightmare of every game being touched by studios all over the world in different states of re-opening and restrictions.

I honestly have no idea how they managed it.
 

betelgeuzah

Banned
Nov 10, 2017
80
User Banned (Permanent): Troll Account
There's simply no excuse for not having had a remote working plan in place before covid for a company that does 95% of its business operations with computers.

I love FF14 especially and the Japanese game output in general but this level of national incompetence is just flabbergasting.

Hell, working in the waste management industry myself, all the remote working strategies were already in place for March in my company. There was very little effect on digital operations.

Please stop sucking so much Japan.
 

Yuntu

Prophet of Regret
Member
Nov 7, 2019
10,663
Germany
There's simply no excuse for not having had a remote working plan in place before covid for a company that does 95% of its business operations with computers.

I love FF14 especially and the Japanese game output in general but this level of national incompetence is just flabbergasting.

Hell, working in the waste management industry myself, all the remote working strategies were already in place for March in my company. There was very little effect on digital operations.

Please stop sucking so much Japan.

This isn't just true for Japan. Many studios had no proper setup for such an situation.
 

Deleted member 49535

User requested account closure
Banned
Nov 10, 2018
2,825
Square Enix is a place where management has been awful for decades now, so I can see how Covid would make it even worse.
 

Strings

Member
Oct 27, 2017
31,360
Of all the big publishers, I am most surprised that Ubisoft has been able to mostly weather the effects of COVID so far. They are still getting two pretty huge games out before the end of the year and have Far Cry early next. And that's before you consider they have to deal with the added logistical nightmare of every game being touched by studios all over the world in different states of re-opening and restrictions.

I honestly have no idea how they managed it.
Most of their upcoming releases were pushed back from launching early this year, pre-Covid. I imagine they're just as screwed as anyone else timeline-wise when it comes to anything that required mo-cap, research trips, etc.
 

Deleted member 1102

Account closed at user request
Banned
Oct 25, 2017
13,295
FF7 remake part 2 will probably be hit the worst with this. That game was 2023 at best before all this but with Covid we'll be lucky to get it in 2024.
 

Serene

Community Resettler
Member
Oct 25, 2017
52,485
Most of their upcoming releases were pushed back from launching early this year, pre-Covid. I imagine they're just as screwed as anyone else timeline-wise when it comes to anything that required mo-cap, research trips, etc.

For a game as big as Assassin's Creed, with how many people and teams are relied on to get those games done, to more or less make what was its planned release date is pretty incredible given the circumstances.
 
Oct 25, 2017
1,234
UK NW
Not surprised at all, all game production world wide took a giant hit and probably got knocked back on average between 6-12 months in production time.
Anything that requires mo-cap can't do anything during that time until countries starting lowering restrictions for their lockdowns.

Which is why we haven't seen anywhere near as much gameplay as you normally would pre-covid.
 

Mung

Member
Nov 2, 2017
3,430
Fingers crossed they're all safe and can work effectively in a safe environment going forward.
 

Mung

Member
Nov 2, 2017
3,430
There's simply no excuse for not having had a remote working plan in place before covid for a company that does 95% of its business operations with computers.

I love FF14 especially and the Japanese game output in general but this level of national incompetence is just flabbergasting.

Hell, working in the waste management industry myself, all the remote working strategies were already in place for March in my company. There was very little effect on digital operations.

Please stop sucking so much Japan.

Get out with this shit. Japan have actually managed the important side of covid (you know, saving lives), better than most. About 1600 have sadly died. But that's far far better than many states, who really should stop sucking so much.
 

Yuntu

Prophet of Regret
Member
Nov 7, 2019
10,663
Germany
Yeah, I am unfairly singling them out I guess. What's so special about the industry that remote working strategy is seen as difficult to implement?

Because there are things, especially in high budget games, that require people to come together. Stuff like mocap. And then there is also probably the programming side, and for certain QA that gets messed up by this because you need testing units etc. for all of them (or as many of them as possible) at their home.

Square Enix is a place where management has been awful for decades now, so I can see how Covid would make it even worse.

Given this affected the XIV team a lot, a team that is extremly well managed, I beg to differ.
 

Aostia82

Member
Oct 27, 2017
7,366
iirc it was widely reported most Japan had no idea/infrastructure how to transition to a work from home scenario.

It really doesnt surprise me this was the case, I assume there will be a lul in Japanese game releases for a time cause of this.


Yes
And the biggest impacts for us in terms of games delays will be next year
 

Joni

Member
Oct 27, 2017
19,508
Don't the Japanese tend to live smaller as well? Meaning people would be working in quite cramped structured?
 

Scottoest

Member
Feb 4, 2020
11,312
I mean, Phil Spencer was saying back in like April or May that the problem mostly wasn't going to be games coming out this year - it was going to be past that, because things like mocap and music sessions had completely stopped, in addition to the normal problems of WFH in an inherently collaborative trade where people want and need to quickly bounce things off one another.

And Microsoft were a company that enacted WFH really early, and were well equipped for it. I can't imagine what it's been like for some other studios.
 

Dphex

Member
Oct 27, 2017
12,811
Cologne, Germany
I don´t think this is exclusive to Japan, for now the games are done, maybe most of the stuff releasing till summer 2021 but after that? there will be quite a drought at some point thanks to covid.
 

BhetjaXIV

Member
Sep 8, 2018
642
Belgium
Yoshi-P's team seem to have adapted quite well but, yeah, might not be the same for all the other divisions.

I just hope that the impact will not be that drastic for them...
 

Soviet

Member
Oct 28, 2017
450
I'm always suprised how high-tech Japan seems while being really low-tech in reality.
 

aspiegamer

Member
Oct 27, 2017
10,457
ZzzzzzZzzzZzz...
This is why I'm basically giving an automatic pass for any game delayed through the next 2 years. We get it, we appreciate that you were honest about it, and you don't have to apologize for it. The communities would rather stuff wait 3-6-whatever more months versus force more crunch. Some games this year had delays that had... other reasons attached, but the bulk I've assumed is organizational and a matter of productivity.
 
Oct 27, 2017
1,297
I mean sure. If you aren't set up or prepared for WFH it makes sense. Dev kits have to be sent out or at least prepped for remote use, you need to be even more stringent on control of assets and code, communication channels change, state of the art technologies (including those for mo-cap) are taken away. There is a lot that needs to be in place. If there is one eye opener many businesses have had its that they need to be prepared for remote working and review their strategies for this.
 

Herb Alpert

One Winged Slayer
Member
Oct 25, 2017
9,033
Paris, France
Nintendo with cult of secrecy and their old fashioned corporate habits must have been hit far more harder than what they have admit...
 

Xenosaga

Member
Oct 27, 2017
11,976
I'm always suprised how high-tech Japan seems while being really low-tech in reality.
yeah that was my impression when I visited Japan multiple times. Very high-tech in certain area, while being really low-tech in other.
Many of shops/restraunts not accepting credit card was a hassle lol.
 

jkh13

Member
Oct 27, 2017
279
SQEX were one of the first to have voluntary WFH since early this year since they had infrastructure to support it. For a Japanese company they were probably one of the best prepared.

The effect of covid is not restricted to just them, I would expect most things to be delayed to some degree, it's simply harder to collaborate remotely even in an ideal WFH setup.
 

Sanka

Banned
Feb 17, 2019
5,778
All these old heads need to leave. Japan is run by a bunch conservative, sleepy old men who can't and don't want to adapt to anything new.
 

mozbar

Member
Feb 20, 2018
856
This is why I'm basically giving an automatic pass for any game delayed through the next 2 years. We get it, we appreciate that you were honest about it, and you don't have to apologize for it. The communities would rather stuff wait 3-6-whatever more months versus force more crunch. Some games this year had delays that had... other reasons attached, but the bulk I've assumed is organizational and a matter of productivity.

If only the gaming community at large was this reasonable :/
 

nekkid

Banned
Oct 27, 2017
21,823
I get this, certainly from a cultural standpoint. My experience of Japanese businesses is that they value the ass in seat appearances more then work/life balance. WFH just isn't a thing.
 

Kalasai

Member
Jan 16, 2018
895
France
I think the remote is not in the Japanese culture. I work in IT and the remote was made in 0 days for all the company with no productivity loss. We already work 2day a week in remote before. Just the VPN suffering the first day xD
 

Glio

Member
Oct 27, 2017
24,481
Spain
One factor that many people (I think especially Americans) don't take into account with remote work is the house you live in.

If you live in a small apartment and have children, your productivity is going to plummet.
 

eyezsac

Member
Oct 27, 2017
88
Honestly between Square and Nintendo I think it's been crazy clear that none of them had any idea how to react to something like this, and that they were far more affected by the pandemic than they let on.

It's understandable that a lot of stuff's been delayed or disrupted and I'm not gonna hold it against them at all - would rather have delays than the devs endangering themselves at work. Hope they've learnt a lot from all this though!
 

Deleted member 81119

User-requested account closure
Banned
Sep 19, 2020
8,308
There's simply no excuse for not having had a remote working plan in place before covid for a company that does 95% of its business operations with computers.

I love FF14 especially and the Japanese game output in general but this level of national incompetence is just flabbergasting.

Hell, working in the waste management industry myself, all the remote working strategies were already in place for March in my company. There was very little effect on digital operations.

Please stop sucking so much Japan.
I sincerely hope you are saying this from the perspective of someone worried about Japanese companies surviving as a result of this, and not just from the perspective of someone pissed off they'll have to wait a bit longer for games.