In recent news, THQ has begun exercising their new business strategy of getting rid of all but their most important studios and IP. I remember hearing about a recent prediction that THQ wouldn’t be around after 6 months in a particular man’s opinion, interesting that things are really going down the gutter for the company now, and they’re suddenly having to scramble desperately to turn things around.
The result is that the company sold ValuSoft, it’s value-centric (but also value soft) publishing and distribution center. THQ had been in posession of ValuSoft for about a decade but the division was definitely not a major source of income, it was more like a bonus than anything. ValuSoft specializes in making those AA budget titles that nobody cares about and are pretty much always unspectacular (and possibly about Spongebob Squarepants). The company has now been acquired by Cosmi which is a company that is very experienced in the business of making games like this. THQ president and CEO Brian Farrell stated: “With the transition of the ‘Value’ PC business to Cosmi, our internal resources are now focused on our core video game portfolio where we can drive the highest quality performance and execution for our games.”
In addition, they also plan to lay off Rory Donnelly, who has been the senior vice president of of their European publishing division for 12 years straight. It must really suck for that guy, if you keep up a job like that for 12 years, it usually means you’re pretty content with keeping it even longer. “As a result of this decision, Rory Donnelly will be leaving the company effective May 10,” THQ said in a statement. “We wish Rory well in his future endeavors and we thank him for his 12 years of service to the company.” Well that’s just dandy, it’s never any fun when you’re the victim of a company that has to restructure due to bad business decisions in the long run. But the video game industry is easily one of the most fickle markets you can find, so you just never know what to expect some of the time. We really don’t know yet if THQ will be able to recover from this or not, it’s too early to tell but for what it’s worth I do hope that they don’t completely bomb.
Source: MCV UK