haxan7
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This article just came up as an etrade alert for me:
Microsoft has expressed interest in acquiring the games division of Warner Bros., the publisher behind popular game franchises based on Batman, Harry Potter and other characters, according to two people familiar with the situation.
An acquisition of the business, which consists of game development studios scattered around the U.S., Canada and the U.K., would help Microsoft expand the game-making capabilities of its Xbox group. But Warner’s parent, AT&T, hasn’t yet decided whether to sell the business. It is weighing the possibility as it looks at ways of paying down its $154 billion in debt, which stems partly from its 2018 acquisition of Time Warner, now known as WarnerMedia.
Along with Microsoft, other suitors for the game group include Take-Two Interactive Software, Electronic Arts and Activision Blizzard, said one of the people. The people cautioned that no deal is imminent. Investment bank LionTree is helping AT&T field possible suitors for the group, the people said.
Microsoft’s interest in the Warner games group hasn’t been reported previously. Earlier this month, CNBC first reported that AT&T was in discussions to sell the game unit—which it said could fetch around $4 billion—and that Take-Two, EA and Activision had expressed interest in it. It couldn’t be learned how much Microsoft is willing to pay for the Warner unit.
Spokespersons for Microsoft, WarnerMedia, EA and Take-Two had no comment, while Activision didn't immediately respond to a request for comment.
Microsoft plans to release a new generation of its games console, the Xbox Series X, this holiday season and has said it will hold an online event later this month to discuss games for the machine coming from its own development studios, including a new installment of its Halo franchise.
Microsoft acknowledged a misfire in its game plans last month, when it announced plans to shut down Mixer, a service for streaming video of game sessions that never approached the scale of its far bigger rival, Amazon’s Twitch. Microsoft reached an agreement with Facebook to move streamers from Mixer to a Facebook gaming service.
Any deal for the Warner game unit is likely to involve a licensing deal for the intellectual property that undergirds its most popular franchises. Many of Warner’s best-known games are based on characters from its film, television and DC comics units, including Harry Potter, Game of Thrones and Batman. It also makes a popular series of games based on Lego toy characters.
Two months ago, Jason Kilar, a veteran executive of Amazon and Hulu, took over the leadership of WarnerMedia. So far, his biggest focus has been the recent launch of HBO Max, the new streaming service from the media company. Kilar may well have a view about the value of the games unit, however, and whether AT&T should keep it.
Microsoft Expresses Interest in Acquiring Warner Game Unit
Microsoft has expressed interest in acquiring the games division of Warner Bros., the publisher behind popular game franchises based on Batman, Harry Potter and other characters, according to two people familiar with the situation.An acquisition of the business, which consists of game ...
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Microsoft has expressed interest in acquiring the games division of Warner Bros., the publisher behind popular game franchises based on Batman, Harry Potter and other characters, according to two people familiar with the situation.
An acquisition of the business, which consists of game development studios scattered around the U.S., Canada and the U.K., would help Microsoft expand the game-making capabilities of its Xbox group. But Warner’s parent, AT&T, hasn’t yet decided whether to sell the business. It is weighing the possibility as it looks at ways of paying down its $154 billion in debt, which stems partly from its 2018 acquisition of Time Warner, now known as WarnerMedia.
Along with Microsoft, other suitors for the game group include Take-Two Interactive Software, Electronic Arts and Activision Blizzard, said one of the people. The people cautioned that no deal is imminent. Investment bank LionTree is helping AT&T field possible suitors for the group, the people said.
Microsoft’s interest in the Warner games group hasn’t been reported previously. Earlier this month, CNBC first reported that AT&T was in discussions to sell the game unit—which it said could fetch around $4 billion—and that Take-Two, EA and Activision had expressed interest in it. It couldn’t be learned how much Microsoft is willing to pay for the Warner unit.
Spokespersons for Microsoft, WarnerMedia, EA and Take-Two had no comment, while Activision didn't immediately respond to a request for comment.
Microsoft plans to release a new generation of its games console, the Xbox Series X, this holiday season and has said it will hold an online event later this month to discuss games for the machine coming from its own development studios, including a new installment of its Halo franchise.
Microsoft acknowledged a misfire in its game plans last month, when it announced plans to shut down Mixer, a service for streaming video of game sessions that never approached the scale of its far bigger rival, Amazon’s Twitch. Microsoft reached an agreement with Facebook to move streamers from Mixer to a Facebook gaming service.
Any deal for the Warner game unit is likely to involve a licensing deal for the intellectual property that undergirds its most popular franchises. Many of Warner’s best-known games are based on characters from its film, television and DC comics units, including Harry Potter, Game of Thrones and Batman. It also makes a popular series of games based on Lego toy characters.
Two months ago, Jason Kilar, a veteran executive of Amazon and Hulu, took over the leadership of WarnerMedia. So far, his biggest focus has been the recent launch of HBO Max, the new streaming service from the media company. Kilar may well have a view about the value of the games unit, however, and whether AT&T should keep it.