Tango acquisition was about more than money

It was big news when Krafton announced they had purchased Tango Gameworks from Microsoft after its closure. It was a move that essentially saved the studio and many of the employees that worked there. Hi-Fi Rush, published in January of 2023, was a critical darling. It may have not been the commercial success that Microsoft had been hoping for, but it was a smash hit, literally and figuratively.

Recently, CEO of Krafton Changhan ‘CH’ Kim, had some words to say about the recent acquisition his company made. In speaking with Game Developer, he talked about the motivation behind Krafton’s buyout of Tango. Kim said the purchase was more about the creative aspect rather than a commercial one.

“We can’t acquire Tango Gameworks based on their financials or their numbers, right? We don’t think Hi-Fi Rush 2 is going to make us money, to be frank. But it’s part of our attempt. We have to keep trying [to develop games] in the spirit of challenge-taking. Tango Gameworks are creative. They want to try something new, and we want to do more of that. [Making] video games is really a hit or miss industry, and that is risk taking. But having more project lineups is actually a way to mitigate risk, because one of them might work out.”

Interestingly enough, Kim also talked about the need for the deal to be done quickly, noting that since the studio had already been shuttered, allowing the employees to continue their careers quickly.

“We wanted to make sure the deal happen fast to minimize that gap in their career.”

Acquiring Tango Gameworks is a big get for Krafton on several fronts. Kim acknowledged that Tango Gameworks will not be working on Hi-Fi Rush only, but the hope is they will be able to develop new IPs for Krafton as well in order to expand the portfolio. We will be anxiously awaiting whatever Tango comes up with next.