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Marvel's Avengers Still Hasn't Broke Even

The year 2020 has made things difficult for everyone, and game studios are no exception. The pandemic has forced many game developers to work from home, and several anticipated titles have seen delays — in some cases, multiple delays, like with Cyberpunk 2077. In the case of Marvel's Avengers, Square Enix might have counted on the big name IP to bring in substantial profits for the company. Unfortunately, this was not the case.

In its second quarter financial briefing on Nov. 6, Square Enix president Yosuke Matsuda, announced that the sales from Marvel's Avengers were far lower than expected. In fact, the company lost around seven million yen (roughly $67 million USD), according to IGN, which was not enough to cover the cost of the game's development.

When asked what led to the loss, Matsuda contributed the game's failing partially to the added cost of its advertising campaign, which was put in place to make up for the delay of Marvel's Avengers from its initial spring release. The game was set to launch in May 2020, but was delayed due to COVID-19. Matsuda also admitted that the studio was not prepared for the game's lack of sales, and intended to "leverage the lessons we learned from this experience in future game development efforts."

While sales fell short with Marvel's Avengers, Square Enix saw rising profits for its mobile games. Titles like War of the Visions: Final Fantasy Brave Exvius and Dragon Quest Walk made big earnings for the company, as well as its digital eReader Manga Up! The company also flourished in their merchandising sales, which they owed to "character goods and soundtracks based on the Company's IP."

As Square Enix moves forward into their third financial quarter, Matsuda said he planned to improve Marvel's Avengers sales by providing additional content for the game. One such addition is the arrival of Kate Bishop to the Avengers team. According to Playstation's online blog, Kate will have her own story which involves the search of her mentor, Clint Barton/Hawkeye, in an operation titled "Taking AIM." Playstation hinted that the story will involve time travel elements as well as clues to the whereabouts of Nick Fury. Kate Bishop will be available on Marvel's Avengers Dec. 8, and Clint Barton is expected to follow sometime in 2021.

Marvel's Avengers is now available on PS4, however plans to upgrade Marvel's Avengers for PS5 consoles have been delayed until 2021.