Capcom's Revival: From Resident Evil 6 to Monster Hunter Wilds' Success

With *Monster Hunter Wilds* breaking Steam records and *Resident Evil* enjoying unprecedented popularity thanks to *Village* and a series of stellar remakes, it's clear that Capcom is currently riding a wave of success. Yet, this wasn't always the case. Just a few years ago, after a series of critical and commercial disappointments, Capcom found itself struggling to maintain its foothold in the gaming industry. It had lost its direction and its audience.

Capcom was grappling with an identity crisis. *Resident Evil*, the franchise that pioneered the survival horror genre, had lost its edge following *Resident Evil 4*. Meanwhile, another flagship series, *Street Fighter*, was faltering after the poorly received *Street Fighter 5*. These setbacks could have spelled the end for Capcom and its beloved titles.

However, amidst the challenges, a glimmer of hope emerged. A shift in Capcom's game development strategy, powered by a new game engine, breathed new life into its iconic series. This transformation ignited a period of critical and financial success, propelling Capcom back to the forefront of the gaming world.

Resident Evil Lost Its Way

2016 was a challenging year for Capcom. The release of *Umbrella Corps*, an online co-op shooter, was met with harsh criticism from both reviewers and fans. Similarly, *Street Fighter 5* disappointed many long-time fans, who were skeptical of this sequel to the beloved *Street Fighter 4*. *Dead Rising 4*, despite featuring the return of Frank West, marked the final new entry in the series.

This period represented the culmination of several lackluster years for Capcom, which had been struggling since 2010. The mainline *Resident Evil* games were receiving diminishing critical acclaim despite strong sales, *Street Fighter* was reeling from a poorly received new release, and other key franchises like *Devil May Cry* were absent. Meanwhile, *Monster Hunter*, though hugely popular in Japan, faced difficulties penetrating international markets.

"Many of us started feeling that what the fans and players wanted from the series was getting a little bit separate from what we were making," a sentiment that highlighted the disconnect between Capcom's output and its audience's expectations. This is a stark contrast to the Capcom we see today. Since 2017, the company has consistently delivered hit games from its most famous franchises, achieving both commercial success and critical acclaim with titles like *Monster Hunter World*, *Devil May Cry 5*, *Street Fighter 6*, and a series of industry-leading remakes and a successful soft reboot of the *Resident Evil* series.

Capcom's resurgence wasn't just about learning from past mistakes. It required a complete overhaul of its strategy, from targeting different types of players to adopting new technology. To understand this dramatic turnaround, IGN spoke with four of Capcom's leading creatives about how the company overcame its challenges and emerged stronger than ever.

Founded in 1979 as a maker of electronic game machines, Capcom rose to prominence during the 80s and 90s with 2D games like *Street Fighter* and *Mega Man*. The company successfully transitioned to 3D with titles like *Resident Evil* between 2000 and 2010, culminating in the creation of one of the greatest games of all time, *Resident Evil 4*.

*Resident Evil 4*, released in 2005, is widely regarded as a masterpiece due to its perfect blend of horror and action. However, subsequent games struggled to maintain this balance. *Resident Evil 5* introduced action-heavy elements like car-sized boulder punches and car chases, which diluted the series' horror identity. This shift was evident to both players and developers, including *Resident Evil 4* remake director Yasuhiro Ampo, who has been involved with the series since 1996.

"Overall throughout the Resident Evil series, we set up different goals, challenges, and things we want to try with each game… But this time, many of us started feeling that what the fans and players wanted from the series was getting a little bit separate from what we were making," Ampo explained. This confusion led to *Resident Evil 6*, which attempted to cater to both action and horror fans but ultimately failed to satisfy either group.

Capcom's struggles weren't limited to *Resident Evil*. *Street Fighter 4* was a success, but its sequel, *Street Fighter 5*, was criticized for its lack of single-player content and poor online functionality. Other key franchises, including *Devil May Cry*, also faced challenges, with *DmC: Devil May Cry* receiving mixed reactions and leading to the series being shelved.

During the early to mid-2010s, Capcom faced a series of setbacks across its major franchises. Attempts to appeal to Western markets with games like *Lost Planet* and *Asura's Wrath* fell flat, and even successes like *Dragon's Dogma* couldn't mask the company's lack of focus. It was clear that a change was needed.

Street Fighter 5, The Lost Cause

By the mid-2010s, Capcom began implementing changes that would eventually transform the company's fortunes. The first step was addressing the issues with *Street Fighter 5*. Director Takayuki Nakayama and producer Shuhei Matsumoto were tasked with steering the game toward stability.

"There definitely were some challenges within the production of the game, and that was part of the reason why I was brought into the team," Nakayama admitted. The constraints of the existing development path limited what could be done, leading to a focus on fixing the most pressing issues rather than overhauling the game completely.

"We just didn’t really have enough time to address some of the problems and challenges we faced in Street Fighter V," Nakayama explained. "And so, with our hands tied behind our backs, we basically had to wait for those ideas to be brought back for the initial conceptual phases for Street Fighter 6, so we could tackle and do things properly for the next title."

Matsumoto emphasized that abandoning *Street Fighter 5* was not an option. "There wasn’t any sort of sense of like, ‘Okay let’s just end Street Fighter 5 and focus on Street Fighter 6.’ It was more like, while we were working on Street Fighter V, we were trying to figure out what we really wanted to do in Street Fighter 6 content-wise," he said.

The development of *Street Fighter 5* became a testing ground for new ideas, which were later implemented in *Street Fighter 6*. Updates included improvements to netcode, character re-balances, new characters, and mechanics like V-Shift, which provided a brief window of invincibility. The ultimate goal was to rediscover the fun in fighting games, which had been lost in *Street Fighter 5*.

"We both realized that fighting games are fun, and when you get used to them, it becomes more enjoyable and something you can essentially play forever as long as you have an opponent to play against," Matsumoto said. "However, one of the challenges that we faced with Street Fighter V is that we felt that there wasn’t a clear pathway that helped guide players to get to that level where they finally feel like they’re having fun and will want to continue playing."

While *Street Fighter 5* could have been scrapped in favor of a new sequel, Nakayama and Matsumoto knew that this would not foster meaningful growth for the franchise. By using *Street Fighter 5* as a testing ground, they ensured that *Street Fighter 6* launched as one of the most critically acclaimed games in the series.

To prevent similar situations in the future, Capcom needed a significant strategic shift. This involved internal reorganization and the adoption of a new game engine, the RE Engine, to ensure that future games would appeal to a global audience.

Monster Hunter Took Over The World

Around the time of *Street Fighter 5*'s launch in 2016, Capcom underwent an internal reorganization to prepare for a new generation of games powered by the RE Engine. This engine replaced the aging MT Framework and was part of a broader strategy to create games that appealed to a global audience.

"It was a few factors that came together," said Hideaki Itsuno, a former game director at Capcom known for his work on *Devil May Cry*. "The change of the engine and also all teams were given a very clear goal at that point to make games that reach the global market. [Games] that are fun for everyone."

During the PS3 and Xbox 360 era, Capcom tried to capture the Western market with action-heavy titles like *Resident Evil 4* and spinoffs like *Umbrella Corps* and *Lost Planet*. However, these efforts were largely unsuccessful. Capcom realized it needed to create games that appealed to a broader audience, not just fans of Western genres.

"I think that we had that clear goal of just focusing and not holding anything back," Itsuno said. "Towards making good games that would reach people from all over the world."

The pivotal moment came in 2017 with the release of *Resident Evil 7*, which marked the beginning of Capcom's renaissance. No series better exemplifies Capcom's new goal of global success than *Monster Hunter*. While it had a dedicated fanbase in the West, *Monster Hunter* was much more popular in Japan due to its success on handheld consoles like the PSP.

"20 years ago in Japan, having a network connection wasn't as easy, and there weren’t a huge amount of people playing Monster Hunter online. However, handheld consoles made multiplayer gameplay easy without internet access, and I regard it as a great success that we had players experience the game in this way, which was one of the ways we really wished for them to play and enjoy it, even in that era when online gameplay wasn't easy," said Ryozo Tsujimoto, the executive producer of the *Monster Hunter* series.

The series' focus on cooperative play was well-suited to handheld consoles, which were more popular in Japan. This led to a feedback loop where *Monster Hunter* became a Japan-centric brand, with exclusive content and events reinforcing this perception. However, as internet infrastructure improved globally, Tsujimoto and the team saw an opportunity to launch a more globally accessible game.

*Monster Hunter: World*, released in 2018 on PlayStation 4, Xbox One, and PC, was a significant departure from previous entries. It offered AAA console quality action, larger areas, and bigger monsters, designed to appeal to a worldwide audience.

"Our approach to the globalization of the series and Monster Hunter in general really ties into not only the themes that we had going into designing the game, but also in the name of the game," Tsujimoto revealed. "The fact that we called it Monster Hunter: World is really kind of a nod to the fact that we wanted to appeal to this worldwide audience that we wanted to really dig into and experience Monster Hunter for the first time."

To ensure *Monster Hunter: World* did not favor one market over another, it was released simultaneously worldwide without Japan-exclusive content. Focus tests were conducted globally to refine the game's systems, resulting in changes like showing damage numbers when players hit monsters. These adjustments helped *Monster Hunter: World* and its follow-up, *Monster Hunter Rise*, achieve unprecedented sales of over 20 million copies each.

"The fact that we called it Monster Hunter: World is really kind of a nod to the fact that we wanted to appeal to this worldwide audience that we wanted to really dig into and experience Monster Hunter for the first time," Tsujimoto reiterated. The series' success continued with *Monster Hunter Wilds*, which maintained the core action gameplay while making it more accessible to new players.

Resident Evil 7 Began Turning Things Around

While *Monster Hunter* had a winning formula, *Resident Evil* faced the challenge of deciding between gory action and survival horror. Executive producer Jun Takeuchi made the decisive call to return to the series' survival horror roots.

"It was around the time I was working on Resident Evil Revelations 1 and 2. I was trying to test different things, try different approaches," recalled *Resident Evil 2* and *4 Remake* director Yasuhiro Ampo. "And around this time is when the R&D teams were divided into R&D division one and two. The executive producer of the Resident Evil series, Jun Takeuchi, took command of R&D division one, and he set the core direction that the Resident Evil series needed to go back to its origins, to its roots."

*Resident Evil 7* was announced at PlayStation's E3 2016 conference, with a first-person perspective that reignited the series' horror elements. "We cannot underestimate how critical it is for the series for it to be scary," Ampo said. The game's shift to first-person allowed it to recapture the fear that had been missing from recent entries.

The success of *Resident Evil 7* led Capcom to continue with first-person titles like *Resident Evil 8*, while also releasing third-person remakes starting with *Resident Evil 2*. The demand for remakes was evident from fan projects, prompting producer Yoshiaki Hirabayashi to adopt the slogan, "Well, we’ll do it."

The *Resident Evil 2* remake combined horror, action, and puzzles with a menacing Tyrant system that added tension to the gameplay. Under Ampo's direction, it became the second best-selling game in the franchise's history. Following this success, Capcom remade *Resident Evil 3* and, despite initial hesitation, tackled *Resident Evil 4*.

"As you mentioned, [Resident Evil 4] was still a title that enjoyed some popularity. So there was a lot of internal discussion on how maybe it’s not a good idea. Maybe we don’t need a remake for Resident Evil 4, especially because Resident Evil 4 is a game that is so beloved. If we get anything wrong with the remake, people might be quite vocal about their discomfort," Ampo explained.

Despite these concerns, the *Resident Evil 4* remake was a hit, fine-tuning the balance between action and horror to align with Takeuchi's vision of returning to survival horror roots. The game retained its action hero moments but adopted a moodier, darker tone.

Simultaneously, *Devil May Cry* director Hideaki Itsuno sought to revitalize the action genre. After working on *Dragon's Dogma*, Itsuno returned to *Devil May Cry* with a mission to challenge players and leverage the new RE Engine's capabilities.

The Reason Behind The Change

"I felt like the main trend with action games was to make action games that were very kind," Itsuno admitted. "Maybe, for me, a little bit too kind to the players, lending a hand to the player too much to my liking."

Itsuno, who had directed *Devil May Cry* since the second game, returned after a decade-long hiatus with a clear vision and the advanced technology of the RE Engine. This engine, which replaced the MT Framework, allowed for higher visual fidelity and more agile development, enabling Itsuno to create a game that was both visually stunning and mechanically refined.

"So the original concept for the RE Engine was to allow for a development environment that was less stressful and could help us to make things quicker. Because it’s an internally developed engine, when we needed any additional tools, well, we could ask for them internally. They could be fixed somewhat quickly, internally, and also iterated on," Ampo explained.

The RE Engine's capabilities allowed Itsuno to focus on making *Devil May Cry 5* the "coolest" action game possible, incorporating elements from various media he found inspiring. "Devil May Cry is a franchise that stands on being cool," Itsuno said. "That’s what the franchise is, it’s about being cool. Ever since I took over the series from Devil May Cry 3, I put everything that I, as a person, I considered throughout my life to be cool. Anything I’ve seen on TV, in movies, and comics I’ve read, any sport experiences I’ve had, I try to distill everything that I think is cool into what the game is."

A New Capcom Golden Age

Since 2017, Capcom has released a game of the year contender nearly every year, a remarkable feat in an industry where consistency is rare. This success is attributed to Capcom's focus on creating globally appealing games using the technologically advanced RE Engine, which supports a variety of genres.

"Capcom is going through a golden era, and, well, now we have to do everything we can so that this lasts one more year, one more year, and every year, one more year," said Tsujimoto, highlighting the company's commitment to extending this period of success.

Capcom's approach to making global, mainstream games has not diluted its core identities. Instead, it has struck a balance between staying true to its franchises and expanding their audiences. While many of Capcom's contemporaries struggle to find their footing, Capcom's strategic changes over the past decade have ushered in a new golden age.

When asked about this golden age, Nakayama from the *Street Fighter* team agreed, "It’s a very exciting time to be at Capcom right now. A lot of us are able to get excited about what we’re working on and are able to focus on things that we think are fun. So, yes, I guess a golden age may be one interpretation of that."

Capcom's journey from near failure to industry leader serves as a testament to the power of innovation, strategic shifts, and a commitment to quality. As the company continues to evolve, it remains focused on maintaining its current momentum and ensuring that its golden age lasts as long as possible.