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  Video-game firms expect shake-up as costs increase
Time: 14:56 EST/19:56 GMT | News Source: Bloomberg | Posted By: Todd Richardson

A merger between Square Co and Enix Corp, two of Japan's largest video-game makers, may accelerate consolidation in the US$20 billion industry as rivals join forces to make games for Sony Corp and Microsoft Corp.

As game-development costs surge, companies that can't afford to hire designers for more sophisticated game consoles may follow next year's planned merger, according to game-makers and analysts.

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