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· Posted on
February 21, 2024

Sony's COVID spending spree continues - and same TBH

The multinational entertainment company has just acquired Bluepoint Games, which is like the master of remasters.

What's the key learning?

  • In their fourth acquisition this year alone, Sony has acquired Bluepoint Games.
  • This purchase is known as a strategic acquisition for Sony - cause it's striving to get new, killer content for the PS5.
  • The end goal of all acquisitions is to make the collection of acquired companies more profitable than the sum of their individual parts.

Background: Sony is the electronics company behind the beloved PlayStation - which actually came out back in 1994. Feel old yet?!

What happened: The multinational entertainment company has just acquired Bluepoint Games, which is like the master of remasters. It brought the famous Shadow of the Colossus remakes, as well as remakes of the cult-classic Gravity Rush.

What else: It's the company's fourth acquisition this year, as it strives to get new, killer content for the new PS5, which launched in November last year.

So what's the key learning?

💡Sony's purchase of Bluepoint Games is what's known as a strategic acquisition.

💡In high growth companies like Sony, there are generally three kinds of acquisition strategies:

  1. The acquihire - which is where you purchase smaller companies for the purpose of hiring the key talent at that company

  2. The product acquisition - which is where you acquire another company to fill a product hole. Like when Microsoft bought ClipChamp to fill its video editing tool-shaped void

  3. The strategic acquisition - which is where you purchase a company that's doing something so well, ya just couldn't do it any better yourself.  

💡The end goal of all acquisitions is to make the collection of acquired companies more profitable than the sum of their individual parts.

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