Sony is in talks to buy From Software's parent company, Kadokawa

Key takeaways

  • Sony is in talks to acquire FromSoftware's parent company, Kadokawa.

  • The potential acquisition would give Sony ownership of several media brands, not just video games.

  • Sony's history of studio acquisitions, including some less successful purchases, could make this deal risky.

Sony is reportedly in talks to buy the Alden Ring and Dark Souls developer from the software's parent company, Kadokawa.

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A report from Reuters that Sony is looking to “add to its entertainment portfolio”.

Sony in talks to buy Kadokawa

Dragon Ball Sparking Zero image showing Goku in the exhibition area.

Kadokawa is probably an overly familiar name in the Western world, but it is one of Japan's largest media conglomerates. The company owns a 70 percent stake in FromSoftware, as well as Dragon Ball: Sparking Zero developer Spike Chunsoft, and dozens of anime, manga and media brands.

According to Reuters, talks between the two sides are continuing, and a deal could close “in the coming weeks.”

Talks between the two sides are ongoing, and a deal could close 'in the coming weeks'.

Kadokawa's purchase would be the latest in a long line of development studio acquisitions from Sony. Over the past few years, PlayStation Creators has purchased Bungie, Insomniac Games, Haven Studios, and the recently defunct Firewalk Studios.

Although Sony seems eager to make acquisitions, its track record hasn't been perfect. The recently released Concord was heralded as one of gaming's biggest flops, leading to the closure of its developers, and several other PlayStation-owned studios in recent days, including hundreds of employees at Bungie, which Sony reportedly “overpaid” for. .

If the purchase is finalized, it would bring more parity between PlayStation and Xbox creator Microsoft, which has made some major acquisitions of its own over the past few years. In 2022, Microsoft confirmed its purchase of Call of Duty owner Activision for $70 billion, and a few years earlier, it bought Fallout and Skyrim developer Bethesda for $7.5 billion.

While Elden Ring and Dark Souls may not be on the same professional level as Call of Duty or Skyrim, it will certainly be a feather in Sony's cap.

Sony and Kadokawa both declined to comment when asked by Reuters.

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