Square Enix announced that it has scored a point against the widespread manufacture and distribution of counterfeit figures from its games in China.
According to the announcement made via press release by the publisher, authorities in the country have criminally charged three people involved in manufacturing and six in distribution.
While the news has been shared only now, this actually happened in May 2023 in Guangdong province as a response to allegations made by multiple companies from both Japan and China.
During the operation, counterfeit figures from the Final Fantasy (Specifically Final Fantasy VII Remake) and NieR: Automata franchise were also seized by the authority.
Square Enix mentions that these illegal counterfeits based on its character designs are usually sold around the world and the seized goods were for sale on major distribution platforms in China, Japan, and in the West.
The publisher filed a request with Chinese authorities that ultimately resulted in criminal charges based on information gathered in collaboration with an investigation firm and industry peers.
Square Enix pledges to continue to protect its intellectual property to provide better products and services and maintain and enhance its brand image.
The Company will continue to dedicate itself to the protection of its intellectual property so that it may provide better products and services while maintaining and enhancing its brand image. It reminds its customers and distributors to remain vigilant and protect themselves against counterfeits.
It's worth mentioning that many of the figures in question often go well beyond what Square Enix would allow a manufacturer via an official license.
For instance, both Tifa in the evening dress and 2B portrayed above are designed to have their clothes optionally removed, featuring actual nudity underneath.
This is a very common element in this kind of unlicensed product manufactured in China, and I'm fairly sure this causes the brand managers at Square Enix additional headaches.
Of course, there is a massive industry behind this category of products, so the criminal charges mentioned here are unlikely to stop the tide of counterfeit figures that continue to flood the worldwide markets, often sold side by side with licensed ones, especially outside of Japan.
If you're interested in Square Enix's business and strategy for the future, the new CEO Takashi Kiryu has shared quite a few interesting points about what we can expect in a recent financial conference call.
We're likely to hear even more after the company presents its full-year financial results after the end of the fiscal year in May.