3 Feb 2022
Sony Shares Plunge amid Return of Gaming Concerns
The Index Today
Shares of Sony Group Corp dropped by 8.8% during early trade on Thursday in Tokyo. This comes as stark contrast to its four successive days of highs, informed by the re-emergence of the group’s gaming concerns.
Last month, Sony’s shares plummeted by 13% after Microsoft announced its acquisition of Activision Blizzard, the videogame developer behind notable games such as “Call of Duty” and “Candy Crush”. However, the Japanese corporation managed to recoup some of their losses after buying Bungie, the developer of “Destiny”.
However, the firm exceeded expectations with a whopping Q3 results, driven by the box office performance of the smash-hit film, Spiderman: No Way Home. But still, Sony has been facing challenges in producing its PlayStation units owing to problems with logistics and supply scarcity in the face of rising demands. It sold 3.9 million units which falls short of its sales during the previous year’s third quarter performance.
On Wednesday, Sony announced its decision to increase its first-party gaming income and introduce a minimum of 10 service titles that offer updated and unlimited play, in a bid to maintain its lead in the videogame industry.