15:57

Hasbro revised its video game strategy and wrote off nearly $60 million

It seems that Hasbro has decided to scale back its ambitions in the video game sector. This was discussed during their teleconference summarizing the second quarter of 2026.

Warlock: Dungeons & Dragons

During a conversation with investors, Hasbro CEO Chris Cocks announced that starting next year, the company will reduce its investments in video games. It will now allocate funds primarily to those “franchises, platforms, and partners” with the highest growth potential. The main focus for Hasbro will be on RPGs and collectible card games such as Magic: The Gathering Arena.

Speaking about partners, Cocks added that collaboration with them will become a cornerstone of Hasbro's updated strategy. The company is pleased with its partnerships with Larian Studios and Scopely, who have developed highly successful Baldur’s Gate 3 and MONOPOLY GO! games based on its IP, and it seeks more such projects in its portfolio. According to Cocks, this will allow Hasbro to earn well with minimal risks and expenditures.

Moreover, Hasbro no longer plans to release major games annually, as it previously promised multiple times. Instead, it intends to alternate them with more modest titles.

One of the reasons for the strategic review is the desire to reduce costs in Hasbro’s video game division. According to Cocks, the company plans to relocate part of the production to more cost-effective regions to achieve this. Ultimately, Hasbro hopes that its annual video game expenses will decrease by 25% by 2028.

Cocks also reported that Hasbro recently had to write off $56 million in capitalized costs due to the cancellation of several projects. He didn't specify which games were involved but noted that Exodus and Warlock: Dungeons & Dragons remain secure.

Source:

Kotaku
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