Major Decisions in Gaming
Warner Bros. has made a significant announcement regarding its gaming division, revealing the cancellation of the highly anticipated Wonder Woman game and the closure of three development studios: Monolith Productions, Player First Games, and WB San Diego. This news was first reported by Bloomberg journalist Jason Schreier.
Official Statement from Warner Bros.
In a statement to Kotaku, Warner Bros. confirmed the closures, emphasizing the strategic shift in its focus to prioritize key franchises such as Harry Potter, Mortal Kombat, DC, and Game of Thrones. The company stated:
“We have had to make some very difficult decisions to structure our development studios and investments around building the best games possible. After careful consideration, we are closing three of our development studios. This is a strategic change in direction and not a reflection of the talent within these teams.”
The statement also mentioned that the development of Monolith’s Wonder Woman game will not continue, expressing disappointment in their inability to deliver a high-quality experience for fans. Warner Bros. acknowledged the contributions of the teams involved and reiterated its commitment to producing top-tier games moving forward.
Challenges in the Gaming Division
This cancellation comes at a time when Warner Bros. has been facing challenges within its gaming division. Earlier reports indicated that the Wonder Woman project was struggling due to a reboot and a change in directors earlier this year. The company has also experienced setbacks, including layoffs at Rocksteady, mixed reviews for Suicide Squad: Kill the Justice League, and the discontinuation of MultiVersus.
Furthermore, recent restructuring within the gaming division has raised eyebrows, particularly with the departure of longtime games head David Haddad and rumors of a potential sale of the division.
The Impact on the DC Universe
This strategic move represents a significant blow to Warner Bros.’ efforts to expand its DC universe in the gaming realm. Just a day prior, James Gunn and Peter Safran indicated that fans could expect a new DCU video game in “a couple of years,” highlighting the long road ahead for the franchise.
A Tribute to the Studios
The closure of these studios marks the end of an era for three notable names in the gaming industry. Monolith Productions, founded in 1994 and acquired by Warner Bros. in 2004, is renowned for its acclaimed titles, including Middle-earth: Shadow of Mordor and Shadow of War. The original game is particularly famous for introducing the innovative Nemesis system, which Warner Bros. successfully patented in 2021.
Player First Games, established in 2019, was known for its work on MultiVersus, which received critical acclaim and had a successful launch but ultimately fell short of Warner Bros.’ expectations. Similarly, WB San Diego, also founded in 2019, focused on developing mobile, free-to-play games.
Trends in the Gaming Industry
The closure of these studios is part of a broader trend in the gaming industry, marked by layoffs, project cancellations, and studio closures over the past three years. In 2023 alone, an estimated 10,000 game developers faced layoffs, a number that increased to over 14,000 in 2024. As we move into 2025, the rate of closures continues, though exact figures are becoming less clear as fewer companies report their layoffs.
Conclusion
The recent decisions by Warner Bros. reflect a significant shift in strategy as the company aims to refocus its gaming efforts. As the industry navigates these changes, the impact on developers and fans alike will be closely watched in the coming years.
*Rebekah Valentine is a senior reporter for IGN. You can find her insights on social media, and she welcomes story tips via email.*
