Sony's strategy focuses on existing IPs after $13 billion in spending

The Sony Group plans to intensify its already aggressive strategy of acquiring intellectual properties (IPs) in the entertainment sector. However, the main focus will be on buying established assets rather than channeling resources into the organic development of new properties, as reported by the Japanese newspaper Nikkei. This approach of inorganic growth is a financially powerful move, but it deserves analysis regarding its long-term impact on creative diversity.

The information reported by Nikkei indicates Sony's strategic direction, but the absence of an official statement from the Sony Group keeps the nature of future acquisitions in the realm of speculation. More importantly, the report highlights a shift in focus that may be problematic: instead of focusing on creating new properties, Sony is directing its resources towards existing IPs. This reliance on already established brands may limit the introduction of truly novel concepts in the market, prioritizing financial security over radical innovation.

Despite reservations about organic creation, the magnitude of Sony's investment is undeniable. Over the past 7 years, Sony has invested nearly $13 billion in acquiring and strengthening existing intellectual properties. This financial capacity positions Sony as one of the giants capable of rivaling any acquisition in the sector, reinforcing its position as a global entertainment player.

Sony's goal is to maximize the value of these properties through a transmedia strategy, combining games, movies, or anime. The investment made in Crunchyroll is cited as a central example of this approach, where the focus is on turning properties from other companies into video games or movies produced by Sony and partners. Buying, developing, and combining businesses and properties is the way to increase the value of Sony as a house that transforms entertainment into new opportunities.

Sony's acquisition strategy is not limited to full purchases, but includes the strategic acquisition of stakes in already established companies. The investment in companies like Bandai Namco and Kadokawa demonstrates Sony's intention to exert influence on high-value Japanese IPs, aligning with a trend observed in "other Japanese companies" in other sectors seeking to strengthen their strategy of growth through acquisitions and participations.

The strategy of strengthening its intellectual property acquisition strategy in entertainment is crucial for the Sony Group in an increasingly competitive global market. By focusing on IPs with consolidated fanbases, Sony seeks new ways to generate revenue and ensure audience loyalty in its various hardware and software ecosystems.

The Nikkei report indicates that the Sony Group will continue to direct its capital, which totaled nearly $13 billion in the past 7 years, towards the acquisition of existing intellectual properties, rather than focusing on creating new properties. This strategy, exemplified by Crunchyroll and investments in Bandai Namco and Kadokawa, aims to maximize the value of IPs in games, movies, and anime, although the dependence on acquired IPs raises questions about long-term creative innovation.