In a significant shake-up within the gaming industry, Warner Bros. Games announced the closure of three of its prominent studios: Monolith Productions, Player First Games, and WB Games San Diego. This decision also marks the cancellation of the much-anticipated Wonder Woman game, which had been in development for several years. This strategic move was communicated to employees by JB Perrette, the CEO and president of global streaming and games for Warner Bros. Discovery, in an internal email obtained by Polygon.
Monolith Productions, known for its acclaimed Middle-earth: Shadow of Mordor and its sequel, Shadow of War, had been working diligently on the Wonder Woman title. Its closure marks a significant loss in the industry, given the studio's reputation for creating immersive, narrative-driven experiences. Player First Games, the developer behind the recently discontinued fighting game MultiVersus, and WB Games San Diego, which was developing an ambitious AAA, free-to-play, cross-platform game, are also ceasing operations.
Perrette cited a “disappointing 2024” as a catalyst for these drastic measures, indicating a company shift towards consolidating efforts into more promising franchises. Warner Bros. Games will now focus on four core franchises: Harry Potter/Hogwarts Legacy, Mortal Kombat, DC (primarily single-character led games like Batman), and Game of Thrones. This move aligns with the company’s strategy to produce fewer but larger and more impactful titles.
The Wonder Woman game, announced in 2021, was eagerly anticipated by fans but ultimately deemed outside the company’s “strategic priorities.” The cancellation underscores Warner Bros. Games' new direction under Perrette's leadership, which aims to streamline resources and bolster credibility in producing high-quality games. The focus will also shift towards expanding mobile games revenue.
In his communication, Perrette expressed the need to “repurpose our talent where possible,” indicating that efforts will be made to reassign employees to other roles within the company. He acknowledged recent missteps in the product-market fit and quality of new releases, emphasizing the need for improvement to meet fan expectations and secure future investments.
This development highlights a broader trend within the gaming industry of companies recalibrating their strategies to focus on high-value franchises and mobile gaming revenue. As Warner Bros. Games navigates this transition, the industry watches closely to see how these changes will impact the gaming landscape and what new opportunities may arise for the reallocated talent from these closures.
