Last month, reports circulated online that multinational conglomerate AT&T was expressing interest in selling Warner Bros. Interactive Entertainment, the video games division of WarnerMedia. Warner Bros. Interactive Entertainment is the publisher of many massive video game properties, most mainly tied to many other WarnerMedia intellectual properties such as theBatmanandLord of the Rings.
While it was initially reported that other video game corporations such as Electronic Arts, Activision Blizzard, and Take-Two Interactive had expressed interest in purchasing the massively successful video game division, recent reports have indicated that Microsoft is now interested in purchasing Warner Bros. Interactive Entertainment.
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According to The Information, two sources have confirmed that Microsoft is indeedconsidering purchasing WarnerMedia’s video game divisionas it attempts to expand the line-up of internal developers at Xbox Games Studios. According to the website’s sources, the sale is not imminent, as AT&T is still figuring out how to handle its $154 billion debt it accumulated in purchasing TimeWarner in 2018, in which the conglomerate acquired major companies such as Warner Bros. Entertainment Inc., HBO, DC Comics, Crunchyroll and WB Games.
This information comes on top of previous reports thatWarner Bros. Interactive Entertainment had planned to host an E3 conference, which was canceled due to the coronavirus pandemic. Many websites have reported that WB Games had intended to reveala new, unannouncedBatmantitle, which is apparently in development by its internal WB Games Montréal studio, alongside aSuicide Squadtitle fromBatman: Arkham Asylumdeveloper Rocksteady Studios and an upcomingHarry PotterRPG developed byDisney Infinitydeveloper Avalanche Software.
While none of the companies involved have officially commented on these reports, if Warner Bros. Interactive Entertainment were to be purchased by Microsoft, Microsoft would, in turn, acquire a slew of major development teams such asMortal KombatandInjusticedeveloper NetherRealm Studios,Middle-Earth: Shadow of Wardeveloper Monolith Productions, LEGO video game developer TT Games, which owns six subsidiaries, most of which are based in England, and the aforementioned Rocksteady Studios and Avalanche Software. WB Games also owns five subsidiaries situated in North America.
Given Microsoft’s recent interest in acquiring first-party studios, including purchasing major development teams such as Obsidian Entertainment,Double Fine Productions, and Ninja Theory, it makes reasonable sense that the company would see the $4 billion investment into purchasing Warner Bros. Interactive Entertainment as worthwhile, however, it is worth mentioning that purchasing the video games division would not include purchasing the video game rights to WarnerMedia owned intellectual properties such asBatman,Lord of the RingsorHarry Potter.
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