Warner Bros Discovery has decided to close three video game development studios in order to boost profitability in the gaming sector amidst a slow market recovery.
The studios being closed are Player First Game, WB Game San Diego, and Monolith Productions. Development of the Monolith Wonder Woman game will also be halted after the closure. A spokesperson stated, “Our initial goal was to provide players and fans with the best possible experience for iconic characters. Unfortunately, this is no longer feasible given our strategic priorities.”
The closure of these studios reflects the challenges faced by the video game industry, with gamers opting for established titles over new purchases due to budget constraints caused by inflation. Last month, the company announced the departure of David Haddad, former Chief of the Interactive Entertainment Unit, after 12 years.
Following suit with other industry leaders like Microsoft’s Xbox and Sony, Warner Bros. is aiming to reduce costs by closing offices.
The company will now focus on four major games in November, establishing a new development studio and investment strategy, with a focus on core franchises such as Harry Potter, Mortal Kombat, DC, and Game of Thrones, as per David Zaslav’s comments.
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The company’s previous investment in the suicide squad: killing Justice League did not yield the expected results.
Source: www.theguardian.com
