Warner Bros. Discontinues Development of Wonder Woman Video Game and Shuts Down Three Studios
Warner Bros. Discovery (WBD) has announced a strategic repositioning of its games division, with a renewed focus on leveraging key franchises and intellectual property (IP)-driven games. This shift will see the company concentrating on four core IPs: Harry Potter, Game of Thrones, DC, and Mortal Kombat.
The decision comes after a challenging start to 2025, which saw a 48% drop in games revenue compared to the previous year, largely due to the absence of new releases and high carryover revenues from previous hits. The departure of former Warner Bros. Games chief David Haddad in January 2025, following underperformance and problematic launches, has also contributed to this change.
As part of this strategic realignment, WBD has cancelled the highly anticipated Wonder Woman game, which was being developed by Monolith Productions. Alongside this, several studios, including Monolith Productions, Player First Games, and Warner Bros. Games San Diego, have been closed.
The company's spokesperson emphasized that this is a strategic change in direction and not a reflection of the talent within the closing studios. They expressed gratitude to all three teams for their dedication and contributions.
The broader corporate restructure at WBD involves splitting into two publicly traded companies. One will encompass global linear networks and studios, including Warner Bros. Games within the "Streaming and Studios" segment. The other will focus on streaming and related businesses. This organizational realignment aims to generate significant profit targets ($3 billion annually) for the studios, while expanding streaming operations internationally and increasing subscribers to 150 million by the end of 2026.
Warner Bros. Discovery's strategy is to empower its iconic franchises with sharper focus and strategic flexibility, ensuring that the company capitalizes on its strongest IP assets in the rapidly evolving gaming and media landscape. The cancellation of the Wonder Woman game and studio closures are part of this strategic divestment from less profitable or non-core projects to enhance overall efficiency and market competitiveness.
WBD's portfolio includes titles such as Wonder Woman, Harry Potter, Mortal Kombat, DC, Game of Thrones, and Hogwarts: Legacy. The company aims to return its Games business to profitability and growth by 2025 and beyond.
In an effort to return its Games business to profitability and growth, Warner Bros. Discovery (WBD) has cancelled the Wonder Woman game as part of a strategic shift, focusing on IP-driven games from franchises like Harry Potter, Game of Thrones, DC, and Mortal Kombat. This repositioning is linked to the company's broader corporate restructure, which splits its operations into two publicly traded companies – one concentrating on streaming and related businesses, while the other encompasses global linear networks and studios, including Warner Bros. Games within the "Streaming and Studios" segment.
