WB Games Considers Embracing a Licensing Approach Similar to Disney’s Strategy

Warner Bros recently conducted its Q2 earnings call, revealing ongoing struggles within its gaming division. The lackluster performance of Suicide Squad: Kill the Justice League has significantly impacted growth, prompting WB to explore the possibility of adopting an IP licensing model in the future.

Contrary to recent speculations about Warner Bros potentially selling off WB Games, the company is now evaluating various strategies to enhance the financial prospects of its gaming sector. Among these options is the consideration of an IP licensing framework, a model that has proven successful for Disney with its management of Marvel and Star Wars licenses.

During the earnings call, Zaslav, the head of WB Games, highlighted the considerable interest expressed by external parties in licensing Warner Bros IP assets, such as DC characters and Harry Potter. This emerging trend has spurred WB’s exploration of utilizing licensing deals to sustain its gaming arm.

Despite the financial challenges faced by the gaming division, Warner Bros remains committed to retaining its 11 internal studios. The recent acquisition of Player First Games underscores WB’s dedication to projects like MultiVersus. Additionally, the company aims to delve further into crafting ‘free-to-play’ gaming experiences. Notably, the emphasis on ‘live service’ games has diminished following the setback with Suicide Squad, hinting at a potential shift in priorities. Nevertheless, transitioning towards live service games within the free-to-play segment could prove more sustainable for WB compared to the premium game market.

Link to the original article: WB Games Considering Disney-Style Licensing Model