Studio acquisitions to increase in 2024; analysts believe Sony and Tencent will invest heavily

It appears that consolidation in the industry will not slow down in the coming months

Studio acquisitions to increase in 2024; analysts believe Sony and Tencent will invest heavily

It appears that consolidation in the industry will not slow down in the coming months

The consolidation stage in the industry does not stop. Microsoft has just completed the purchase of Activision Blizzard and, apparently, this is only the beginning of a series of major acquisitions by several companies in the coming months.

At least this is what a recent report assures, in which analysts state that there will be many acquisitions and mergers throughout 2024. According to their forecasts, companies such as Sony, Tencent and Take-Two will pull out their wallets to invest in new studios.

Big buyouts and mergers forecast for 2024
Big buyouts and mergers forecast for 2024

Industry consolidation to intensify in 2024, analysts say

According to the firm Drake Star (via Axios) there is a clear trend: the number of acquisitions and mergers has increased in recent months. While there was a drop, everything is expected to change throughout 2024.

"Based on our discussions with many of the top gaming companies in the last weeks, we expect the deal volume to increase steadily over the next year," said Michael Metzger, a partner at Drake Star.

From his perspective, the key players in the next wave of acquisitions and mergers will be Sony, Tencent, Take-Two and Savvy. Meanwhile, Konvoy Ventures predicts that Nintendo, EA and Nexon have a good sum of money to invest, so they could also surprise with acquisitions.

Metzger expects companies like Embracer Group to give up more of their studios after the recent crisis it suffered, which would generate even more movement in the sector. He points out that there are more and more venture capital funds focused on the industry, which will undoubtedly contribute to a spike in the number of acquisitions.

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