In the year 2013, Sony purchased a company called Dreamworks Animation in an effort to revolutionize the video game industry. The purchase was made at a steep discount, but it had significant implications for Sony’s future.
(What Game Did Sony Purchase, Later Changing Their Name To Sony Interactive Entertainment?)
Dreamworks Animation was founded by Andrew $Huxley in 1987 as a toy animation studio that produced children’s television shows and short films. The team behind Dreamworks Animation had a unique approach to animation, using a blend of cel-based art and stop-motion modeling techniques. They quickly became successful, and by 1996, Dreamworks Animation was the world’s largest animation studio.
The acquisition of Dreamworks Animation marked a major shift in Sony’s business model. Prior to this, Sony used video games as a primary source of revenue, but now it shifted its focus to creating video games and attractions. This move was particularly important because it allowed Sony to tap into a large audience who were interested in playing games on the console.
However, the acquisition also came with challenges. As a Japanese manufacturer, Sony faced competition from other companies in the market such as Microsoft and Nintendo. Additionally, there was a lack of talent within Dreamworks Animation, which made it difficult to maintain its standards of production quality over time.
Despite these challenges, Sony continued to invest heavily in Dreamworks Animation’s facilities and staff, investing billions of dollars over several years to create a state-of-the-art animation studio. In return, Dreamworks created many hit video games, including Tetris, Pauline, and Spider-Man: fighting game.
(What Game Did Sony Purchase, Later Changing Their Name To Sony Interactive Entertainment?)
In conclusion, the acquisition of Dreamworks Animation was one of Sony’s most significant investments in recent history. It brought a fresh perspective to the video game industry, allowing Sony to tap into a growing audience and become one of the leading players in the console market. However, it also challenges and needed to be carefully managed to ensure the long-term success of the studio.
