Some sources recently revealed that AT&T is looking for buyers to sell the Warner Bros. Games Division.
This sale is going to be a massive deal for AT&T as it could fetch them around $4 billion.
Several famous publishers like EA, Activision-Blizzard, or Take-Two have reportedly shown interest in this deal. But, yet there are no official confirmations on this deal from either side of the parties.
This news must have come as shocking disclosure for the public and the entertainment industry as well. To know more about it in detail, read the article below.
AT&T is probably willing to sell its Warner Bros. gaming division
As per the recent reports of CNBC, Telecom major- AT&T is searching for potential buyers for selling its Warner Bros. gaming division.
If sold, this deal might have a worth of around $4 billion.
Warner Bros. Entertainment Inc. aka Warner Bros. and abbreviated as WB is a famous American entertainment company.
Nevertheless, Warner Bros. has also to be an exception in the gaming publishing world.
Moreover, a few significant projects are also being developed by the WB company currently.
Some of these projects include a new Harry Potter RPG, an unannounced Batman game from the WB Montreal studio.
The company kept many of its properties inhouse within the WB games, which is its game publishing division.
Whereas, the other renowned film studios like Disney opted to license out the video game right to their properties.
Will it be worth it for other publishers to take over Warner Bros’ gaming properties?
A few of the gaming’s most prominent publishers such as the Activision-Blizzard, Take-Two Interactive, or EA are all interested in grabbing the WB Games division.
Why won’t they be excited in this deal, especially, when WB Games owns some of the biggest IPs in the industry.
The company has published several amazing masterpieces like the Middle Earth: Shadow of Mordor games, the Batman: Arkham games, and many more under this banner.
Not only this, but the unit also owns the “Mortal Kombat” and the “Scribblenauts” series.
Indeed, many popular video games like the “Game of Thrones” and “The Lego Movie” are tied to Warner-owned intellectual property.
It even holds the licenses for other properties like the Harry Potter franchise. However, that might not happen anymore under the new ownership of AT&T.
Any publisher would consider themselves lucky if they can get to grab these IPs and their established studios.
Probable reasons behind selling WB games divisions
Various reasons are being stated for AT&T selling its Warner Bros. Games Division.
But, till now no official statements are made on it. Even spokespeople of AT&T and Take-Two are declining to comment on these reports.
And those at EA and Activision weren’t available for comment before the report’s publication.
Some internal issues or a divestiture might be the reasons behind selling the WB. The reports suggest that AT&T is looking at divesting its assets to repay its last year’s debt of almost $200 billion.
It is also revealed that Elliott Management, one of the investors in AT&T, is putting pressure on the telecom operator for making changes in its leadership and also sell the non-core assets including DirecTV to cut down its debt.
But, John Stankey seemed not to support this business decision. Thus, WB Games might have appeared as a non-vital asset.