Hasbro has already invested over $1 billion in its internal studios as part of an ambitious long-term strategy, according to Wizards of the Coast head of game studios and publishing Dan Ayoub.
"Video games are an integral part of Hasbro's strategy going into the next 100 years and we have to make sure that everything that comes out is top quality, is authentic, and is something we can build upon,” explained Ayoub in an interview with gamesindustry.biz at the Game Developer’s Conference in March. “Because we're talking about a couple studios and a couple games right now, but we have much larger ambitions for that."
Hasbro’s IP licensing strategy has been extremely profitable for the toy-maker in recent years, with Larian Studio’s runaway hit Baldur’s Gate 3 netting the company an impressive $90 million on its own following its 2023 release. Despite this success, the multi-national conglomerate has invested huge amounts of money to establish a clutch of internal game development studios with which to handle its many IPs, and create entirely new ones.
"The biggest thing to takeaway, which is honestly a little surprise to a lot of people, is that Hasbro is in fact making video games," explained Ayoub. "And we have a considerable investment in our studio structure, we've got over $1 billion in games right now being developed."
According to the industry veteran, Hasbro's $1 billion investment in its four existing AAA studios is part of a “very, very deliberate plan”, which would incorporate facets of the company beyond game development.
It's not just Dungeons & Dragons
Hasbro's current AAA stable includes the North Carolina-based studio Atomic Arcade, which is developing a G.I. Joe Snake Eyes game, and Invoke Studios, which is working on another title anchored in the Dungeons & Dragons universe. Skeleton Key, and Texas-based studio Archetype Entertainment round out the quartet, the latter of which is developing a brand new IP starring Matthew McConaughey called Exodus, which draws inspiration from both Mass Effect, and Knights of the Old Republic.
“What we're trying to do there is have the tail wag the dog a little bit and have things going the other direction for the company, which would be something new, where we can create a new IP through video games and then take advantage of the size and scale of Hasbro to do other things with it as well,” said Ayoub.
He also made a point of highlighting Hasbro’s emphasis on quality and authenticity when it comes to its game development approach, while lauding the example set by Larian Studios’ hit RPG Baldur’s Gate 3.
"One of the great things we took from the success of Baldur's Gate 3 is that people really, really like a great, well-executed D&D game, so we've got something like that,” said Ayoub. “And with Snake Eyes, while it's not a new IP, it's hopefully going to be a shot in the arm to the G.I. Joe franchise and we can do some new things and express it in different ways in video games than we have traditionally."
Back in March Larian founder Swen Vincke made the shock announcement that the developer had no plans to release expansions or DLC for Baldur’s Gate 3, and that it was instead moving on from the D & D setting to explore something new. With Larian out of the picture, Hasbro is patiently searching for new partners with whom to shape the future of the franchise.
In the recent G.I.Biz interview, Ayoub highlighted Hasbro's deep well of IPs, which "goes much, much larger than anything we're talking about right now", and ensured that games developed by internal studios wouldn’t be rushed, and that “everything is going to stay in the oven as long as it needs to”.
In December last year Hasbro announced a mass layoff that affected over 1,000 staff, accounting for around 20 percent of its total workforce, while citing the need to “modernize” the company, and make it “leaner” in order to position it for future growth. The redundancies came as Hasbro sought to save $300 million annually up to the year 2025, as it pivots to focus on “fewer, bigger brands”.
Anthony is a freelance contributor covering science and video gaming news for IGN. He has over eight years experience of covering breaking developments in multiple scientific fields and absolutely no time for your shenanigans. Follow him on Twitter @BeardConGamer
