SNK CEO Kenji Matsubara Steps Down Amid Mixed Reception of Fatal Fury: City of the Wolves

In a significant shakeup for the gaming industry, SNK, the iconic developer behind renowned fighting games, has announced that its CEO, Kenji Matsubara, will be stepping down following the release of its latest title, Fatal Fury: City of the Wolves. As of October 2023, Matsubara will transition to an advisory role, allowing him to continue contributing his expertise and vision for the company. This decision raises questions about the game’s performance amidst a highly praised marketing campaign.

A Transformative Tenure at SNK

Kenji Matsubara has served as the CEO of SNK since August 2021, a period characterized by ambitious growth and innovation for the company. Under his leadership, SNK expanded its development division and strengthened its sales and marketing functions, evolving into a global publisher capable of competing on a worldwide scale. “During his tenure as CEO, Mr. Matsubara has been instrumental in driving the company’s growth and innovation,” stated the board, expressing their gratitude for his dedication and leadership throughout this transformative period.

As part of this leadership transition, the chairman of SNK’s board will assume the interim role of CEO while the company navigates its strategic vision for the future.

Fatal Fury: City of the Wolves – A Marketing Triumph or Sales Flop?

Despite the significant marketing push behind Fatal Fury: City of the Wolves, the game’s reception has been lukewarm. Although the company has not provided official sales figures, reports from Famitsu indicate that it sold just 6,302 copies in Japan during its first 11 days. Comparatively, its all-time peak concurrent player count on Steam was merely 4,674—far below other recent contenders in the fighting genre. For context, Street Fighter 6 reached over 32,000 peak players, while Tekken 8 managed 6,841.

Adding to the woes, Fatal Fury: City of the Wolves did not appear in Sony’s official Top 20 PS5 charts for April in North America or Europe, suggesting that its reception may not align with the expectations set by its massive marketing campaign.

A Heavily Marketed Launch

SNK leveraged numerous high-profile promotional stunts for Fatal Fury: City of the Wolves, many of which are tied to Saudi Arabia’s Crown Prince Mohammed bin Salman, who owns 96% of SNK. Notable promotions included featuring football superstar Cristiano Ronaldo as a playable character in the game and heavy sponsorships of major boxing events. Ronaldo is currently with Saudi Pro League club Al Nassr, 75% of which is owned by the Saudi Arabian Public Investment Fund, controlled by the Crown Prince.

Additionally, EDM DJ Salvatore Ganacci’s involvement as a playable character and his performance at various Saudi-backed events underscores the game’s strong marketing ties to the region. The game was aggressively featured at events such as WWE WrestleMania, further entrenching its links with high-octane entertainment in Saudi Arabia.

The Road Ahead for SNK

As SNK navigates this changing landscape with its new leadership, fans and industry watchers will undoubtedly keep a close eye on how the company addresses the challenges highlighted by the release of Fatal Fury: City of the Wolves. With the market flooded with competitive titles, including Street Fighter 6 and Tekken 8, the future success of SNK may hinge on its ability to innovate and effectively market its games in a crowded arena.

As the gaming industry continues to evolve, this leadership transition marks a pivotal moment for SNK. The company remains committed to its strategic vision and is optimistic about its future, but the upcoming months will be crucial in determining how well it adapts to changing consumer expectations and market dynamics.

For more on SNK’s journey, check out our insights on Fatal Fury and the latest updates on the gaming industry.