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WB Games hit with layoffs ahead of potential Warner Bros - Paramount merger

Game devs at Gotham Knights developer Warner Bros Montreal have been laid off as Paramount prepares to merge with WB's streaming and studios business.

WB Games hit with layoffs ahead of potential Warner Bros - Paramount merger
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Senior Gaming Editor
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TL;DR: WB Games Montreal has conducted layoffs amid Warner Bros.' focus on key franchises and an upcoming merger with Paramount, which may lead to further cuts due to high debt. While Paramount invests in gaming through Skydance Games, WB Games remains a veteran studio with extensive experience and global releases.
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WB Games Montreal has been hit with layoffs as its parent company prepares to merge with Paramount.

WB Games hit with layoffs ahead of potential Warner Bros - Paramount merger 21

WB Games' Montreal-based studio has made a few layoffs across various fields, affecting devs that have been with the studio for years--including one that has 18 years with the group.

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Over on LinkedIn, at least three developers have revealed that they have been let go from positions at WB Games Montreal. This follows a swath of layoffs conducted 8 months or so ago, which seems to be the results of WB management's earlier decisions to scale back its gaming ambitions and focus on four key franchises--Harry Potter, Mortal Kombat, DC, and Game of Thrones. This strategy was led by the prospect of cost savings and reducing spending on higher-risk projects.

WB is also facing a big merger with Paramount. If the deal passes regulatory scrutiny, WB Games will effectively become part of Paramount under the studios and streaming business.

Netflix co-CEO Ted Sarandos has warned that Paramount will lay off even more people as a result of the merger, with Sarandos speculating that the high amount of debt from the deal will cause Paramount to shed as much extraneous spending as possible.

It's unclear what exactly will happen to WB Games as a result of the Paramount merger, and Netflix themselves didn't even include the billion-dollar games division in its model for Warner Bros.' total valuation.

The company is devoted to games on some level, though. Paramount's Skydance Media has its own video games production company, Skydance Games, and the biggest upcoming project is the 1943 Rise of the Hydra title for Marvel, and a Star Wars project with Lucasfilm Games.

WB Games, however, is on a different level than Skydance Games when it comes to output and experience, with decades of self-funded and self-published worldwide releases across multiple generations of consoles.

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News Source:eurogamer.net

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About the author

Senior Gaming Editor

Derek joined TweakTown in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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