Warner Bros. Is Looking At Licensing Its IP Out To Other Studios

It’s no secret that Warner Bros.’ gaming division has experienced some hefty struggles as of late. Because while Hogwarts Legacy was a financial success in 2023, Suicide Squad: Kill the Justice League was everything but that. Indeed, Suicide Squad, which just launched its second season of post-launch content, was, by all accounts, a financial failure. Reportedly, Warner Bros. took a $200 million (yes, million) hit on the game.

That said, Warner Bros. is home to a litany of IP that would be ripe for a video game. There are, of course, the many heroes and villains that make up the DC Universe, including Wonder Woman, who is still slated for her own solo adventure at some point. Elsewhere, Warner Bros. also has access to the larger Game of Thrones world, along with the animated properties that make up the likes of Hanna Barbera (Scooby-Doo), Looney Tunes, Cartoon Network (Ben 10) and Adult Swim (Rick & Morty).

In other words, there’s no shortage of characters and worlds, and Warner Bros. is fully aware of that. In a recent earnings call, CEO David Zaslav and president of global streaming and games JB Perrette discussed the possibility of leveraging those IPs beyond the confines of WB.

As part of the call, the leadership duo was asked about the “strategic value” of games given how poorly things have gone so far. Their response was certainly enlightening (hat tip to IGN for the transcription).

David Zaslav:
One of the strategic advantages of owning all our IP is, as the world has changed, it used to be you launch a movie, or you launch a TV series, then you do a game. But one of the reasons that Hogwarts Legacy was so successful and the #1 game last year, you went to Hogwarts Legacy and you entered the game, and you were able to become part of that world.

That, ultimately, I think, is a big piece of where this industry is going. That we’ll create a movie, whether it’s Batman or Superman or Harry Potter, and maybe there’ll be a TV show, but the ability to go in that world and have that experience of spending time with all the characters is something that we still own. We have 11 studios here, and we have a lot of IP. And there’s also a lot of interest among others in coming to take advantage of some of that IP for gaming, which we’re looking at. Because as JB said, we need to get bigger, and the IP that we own and the value that it has in the gaming space is something we’re looking to take advantage of.

It would appear that, regardless of the failures, Warner Bros. is aware of the changing landscape of IP-related video games. A game could be even more successful if it isn’t tied to anything larger. However, it requires execution, which is where WB is falling short at.

As far as which other studios or developers would want to try their hand at one of these IPs, that part remains to be seen. But if the IPs are up for grabs, then there would be no shortage of interest. After all, who wouldn’t want to create a Superman game or a game within the world of Game of Thrones? Only time will tell if WB makes good on its word, though it seems like things will be changing very soon.