Embracer leans on back catalogue as game delays shake industry profits


FILE PHOTO: Embracer Group's computer games are seen in Karlstad, Sweden March 8, 2021. Picture taken March 8, 2021. REUTERS/Naina Helen Jama/File Photo

(Reuters) - Tomb Raider owner Embracer is leaning on its back catalogue to maintain cash flow while fewer AAA games are being released, but this is not a long-term shift, CEO Lars Wingefors said on Thursday.

As game development becomes slower, riskier and more expensive, studios are facing growing pressure to justify their budgets for major releases in a market where consumer sentiment and profitability are wearing thin.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Tech News

U.S. fintech could gain as Trump pushes affordability agenda, Citi says
UK court gives go-ahead to challenge to large data centre
Spotify launches AI-driven 'prompted playlist' for premium users in US, Canada
Coupang investors seek US probe over South Korea's handling of data leak
Apple asks Indian court to stop antitrust body from seeking its financials
Taiwan's Compal warns rising memory prices to impact industry into 2027
Uber faces growing pressure over sexual assault record
Ubisoft shares tumble after 'Assassin's Creed' creator unveils restructuring, cancels games
Ubisoft unveils details of big restructuring bet
Hyundai Motor's Korean union warns of humanoid robot plan, sees threat to jobs

Others Also Read