Warner Bros. Seeks to License Game Properties Amid Revenue Decline

Facing a 41% drop in gaming revenue, Warner Bros. plans to license its IP to external studios to stabilize its games division.

Warner Bros. reported a 41% year-on-year drop in Q2 gaming revenue, largely due to the poor performance of 'Suicide Squad: Kill the Justice League'.
The company aims to mitigate revenue volatility by licensing its franchises like Harry Potter and DC to outside game developers.
CEO David Zaslav highlighted the success of 'Hogwarts Legacy' as a model for future game development and cross-media integration.
Warner Bros. is also focusing on the free-to-play market, as seen with the acquisition of 'MultiVersus' developer Player First.
Despite setbacks, Warner Bros. continues to invest in live-service games, with new titles and strategies in the pipeline.