Kenji Matsubara, CEO of newly-formed publisher Tecmo Koei, has wasted no time in making a repeat request for a PS3 price cut, and is cautiously optimistic about Xbox 360 in Japan.

"Whenever I discuss this with Sony reps, I always ask them: "Please cut the price," but I don"t have a clear view on Sony"s situation," he said when interviewed by CVG. "It"s definitely a way of boosting the PS3 market, but it"s Sony"s strategy and I don"t know their cost structure. Sony introduced cutting-edge technology in the PS3, that"s why people in the industry accept that the PS3 cost is so high, but we"d welcome a price cut."

Speaking with website Kikizo, meanwhile, he recognised the momentum of Xbox 360 in Japan, at least compared to its predecessor. "Xbox 360 as a business is doing better than the old Xbox. They have a good opportunity for growth, but of course Sony is a Japanese company and Microsoft is known as a business software company, so brand image is one point. But Microsoft is doing well, especially considering how difficult it is these days.”

In Europe, Sony has welcomed the merger of two of Japan’s leading publishers. “They have been great partners for PlayStation over many years,” says SCEE vice president Jim Ryan. “And the fact that we can make properties such as Dynasty Warriors, Dead or Alive and Ninja Gaiden more accessible to the UK market is fantastic news.”

Tecmo Koei’s first game is set to be Ninja Gaiden Sigma 2, a PS3 exclusive due later this year. Titles to follow include Quantum for PS3, Undead Knights for PSP, and Warriors: Legends Of Troy for 360 and PS3. If there’s a Western flavour to the line-up, it’s deliberate.

“The European video game market is expanding very rapidly, while Japan has stood still,” Matsubara told MCV. “Our European business is not so big at the moment, but we see many opportunities for us to expand the business, and this is why we’ve created Tecmo Koei Europe. With this office we want to establish a major brand image and also major publisher status throughout Europe. To do this we need titles.”