
Update (Mon 12th Jul, 2021 11:00 BST): Well, we can seemingly put this one to bed! Warner Bros. Games exec Remi Sklar, who is senior vice president of worldwide communications and PR, has contacted TheGamer to confirm that NetherRealm and TT Games aren't going anywhere.
"I can confirm NetherRealm Studios and TT Games will continue to remain a part of Warner Bros. Games, and all are included in the Warner Media Discovery merger."
Original story (Sat 10th Jul, 2021 13:30 BST): The latest rumour doing the rounds today centres around Warner Bros. Interactive Entertainment, with the suggestion that the AT&T owned publisher might want to sell off LEGO studio TT Games and Mortal Kombat studio NetherRealm.
This was reported by Windows Central's Jez Corden on the latest episode of the Xbox Two podcast last night, where he explained that he has a document which suggests the two studios could be in the running for a sale.
"This document I've got seems to suggest that among the studios potentially that they're looking to spin off is NetherRealm and TT [Games]."
"Now, don't take that as evidence that Microsoft is going to acquire NetherRealm or Traveller's Tales, because I have no information to suggest that they are right now personally. But I have heard that NetherRealm potentially could be up for sale. I have heard Traveller's Tales potentially could be up for sale. And I do have a document to back up that evidence."
Corden went on to highlight that, according to the document, Warner Bros. seems very interested in keeping hold of the likes of Monolith and Rocksteady, responsible for the Middle-earth and Batman: Arkham games respectively.
It'll be interesting to see what comes of this, with TT Games set to release LEGO Star Wars: The Skywalker Saga in the near future, and NetherRealm now moving onto its next project following Mortal Kombat 11. If the two studios were to be sold, it would certainly be an incredible bit of business if Microsoft could snap them up.
What are your thoughts on this? Do you think Warner Bros. will sell these studios? Tell us down below.
[source youtube.com, via thegamer.com]
Comments 43
That would be a pretty big get for them. MK is still probably the most popular fighting game.
Edit: I realized that Somy owns EVO so even if MS buys NetherRealm it seems likely that those games would not be Xbox exclusive.
Why would WB get rid of the developers of two of their most popular gaming franchises?
@HotGoomba easy cash infusion. Also these 2 company ips are not locked behind a bunch of corporate owner ship.
Killer instinct by Netherealm would be awesome
I think 'TT Games' would be an ideal purchase for Microsoft.
As said by 'Phil Spencer' the Xbox platform really wants to increase their "Family friendly" titles. Having the Lego series as exclusives would be perfect.
Go get 'em, Phil! You KNOW you want to...
Would be cool if they would then make an announcement trailer out of it and then use the "get over here!" quote from Scorpion...
This is going to sound incredibly stupid, but I literally just dreamed this past night that Microsoft had acquired studios from Warner Bros, lol.
Anyway, like others have mentioned, Spencer did say he wants more family-friendly games on Game Pass and the LEGO series would be the perfect fit for that. I personally enjoy these games, such as LEGO Batman or LEGO Marvel Super Heroes. So I would definitely be up for having all these games available on Game Pass if TT Games gets acquired.
Is it wrong that the main reason I would want this is to get The Lego LOTR and Hobbit games to finally become backwards compatible? That and future Lego games with MS ips (like a blended universe with Lego Banjo Kazooie and Psychonauts and others)
@xMightyMatt14x That's actually a really good idea! If TT Games were first-party, we could get all kinds of LEGO crossovers. Imagine LEGO Halo, LEGO Banjo-Kazooie like you said (maybe we'll finally be able to get a traditional Banjo-Kazooie game this way, lol), LEGO Fable and so on.
@xMightyMatt14x
Yep; great idea.
As the kids grow up you could introduce them to first person shooters with "Lego Halo" and a Mini Master Chief".
Well lego games wouldn't become xbox exclusive as TT dont own the ip. So other than making lego games I don't know if TT games would be a good purchase a let's face it lego games aren't that complex to make or great.
Warner brothers would also own the mortal kombat ip still aswell, these studios just make the games they don't own the ip's.
@LtSarge @TC2020 I would love to play Lego MS IPs with the kids. My son is a huge Lego fan and has been making me track down custom Banjo and Psychonauts sets (which is where this idea came from). I’m really wanting more family friendly stuff and this would be perfect.
@FatalBubbles it won’t. If Netherrealm is bought by Microsoft, it can’t be exclusive as EVO is owned by Sony so it should also come to Sony platforms.
Also I can’t say for sure but ignoring Nintendo platforms is also not a good idea. Mainly because the Lego games and MK11 sold very well on switch
just because WB sell the studios doesnt mean they will sell the IP.
Without the IP most of the studios dont have alot of worth
@UltimateOtaku91 Of course the LEGO games aren't anything to write home about, but the point is that Xbox needs more family-friendly games and this is a great chance for Microsoft to finally secure a series that fits that role. Of course TT Games doesn't own LEGO but why wouldn't The LEGO Group continue to license the series to TT Games after an acquisition? Sure if Microsoft decides to make the series exclusive to Xbox then that might poise a problem. Or Microsoft could make a case to The LEGO Group that this would be a great opportunity to reach an even wider audience thanks to Game Pass being available on Xbox, PC, smartphones, tablets, you name it. Kids would be able to play these games on their phones or their computers without having to buy a console. I can guarantee that Microsoft will be able to provide a compelling argument based on this.
Even if Microsoft acquires TT Games and they don't continue to make LEGO titles, remember that TT Games has been making collectathons all these years. And what Xbox franchise is a well-known collectathon? Banjo-Kazooie of course! TT Games could easily handle some of Rare's IPs due to their expertise in the genre. Not to mention that all the other Xbox Game Studios are busy with their own projects, so it's not likely any of them will be able to make new entries for e.g. Banjo-Kazooie. Buying studios without any IPs to go along isn't a bad idea then in this case. It's all about being strategic, not taking things at face value.
@UltimateOtaku91 While it's true that Warner owns the entire studio that makes the games and by extension their IP, I don't think Warner would sell NetherRealm without their main (only?) IP, because they haven't made much else, so selling them off WITHOUT Mortal Kombat is basically just the equivalent of selling people an empty box, and no company is gonna fall for that, unless they're infinitely stupid.
I'm therefore pretty sure that Mortal Kombat is included in the sale. The only other reason for buying a studio with no IP of their own, is to put them to work on other titles, which could be an option, but hiring people the regular way would probably be a far more cost-effective solution than buying up an entire studio at some kind of inflated bidding price...
Pretty much the same goes for TT games: even though they also make other games, they themselves hold the worldwide rights to develop LEGO video games (or rather: their subsidiary Traveller's Tales), not Warner Bros. So, even though they own the entire studio, the games would more than likely still come included with the studio, if they sell them off.
I love Xbox as a platform, but I gotta say...they reeeeally waste their acquisitions. They buy up a studio or IP and then maybe make one game and call it good (ie. all the Rare IPs). Even now, we get just ONE installment of their biggest IPs every 4 to 5 years (mainline Gears and Halo). I get quality over quantity, and that it takes longer than ever before to make a game, but this is Microsoft we're talking about. More funding, more man power, shorter development cycles please!
@LtSarge I really like your idea of TT doing Banjo if they lose the Lego license. Their skills are definitely for puzzle and collection games. They would have to get used to working with their engine in new ways but very doable. I think TT is a quality purchase no matter what. Let’s hope MS gets them for this reason!
Both would be great acquisitions in terms of what Game Pass is missing.
TT could be put on family friendly games like Banjo and Viva Pinata, or get the LEGO license directly and do LEGO versions of Xbox IPs.
NR could be put on a Killer Instinct game over maybe Mortal Kombat vs. Killer Instinct game.
Either way, if both are for sale, MS would be crazy to miss this opportunity.
@ThanosReXXX I get your point but in a way I still disagree with what you said about NetherRealm, yeah they are mainly known for mortal kombat/injustice but they are still a great studio with talent even if they didn't get those ip's to take with them.
@LtSarge you make a fair point, but since I'm new to xbox and il admit I keep hearing about banjo kazzoie in articles on here and people hyping it up and hoping for rare to make a new one etc but how good/popular was it? If it was that good why haven't Microsoft made a new one especially seeing as they have over 21 studios. It just seems odd to me, it's either a niche title or something legal wise is holding them back.
@anoyonmus @FatalBubbles here we go again trying to justify an acquisition (that might not even happen) needs to still keep games multiplat.
Just because Sony owns Evo means nothing. Or are you saying Evo will ban Smash from Evo because it’s not multiplat? And that MS would definitively make a Killer Instinct 2 multiplat so it can get into Evo?
If MS ends up owning Mortal Kombat IP (and I doubt that) it will be Xbox exclusive going forward.
If they want to sell me LEGO Star Wars: The Skywalker Saga, that would be fantastic.
NetherRealm and TT Games to Phil and Microsoft:
@UltimateOtaku91 I think in order to get an explanation for why Microsoft hasn't done anything major with Banjo-Kazooie, we'll have to go back to when the IP was acquired along with Rare. Why did Microsoft acquire Rare to begin with? Well, Sony had Spyro and Crash on PS1, as well as upcoming Sly Cooper, Ratchet & Clank and Jak & Daxter on PS2. Nintendo had all their great franchises like Mario, Zelda, Kirby, Yoshi Donkey, all these family-friendly series. Microsoft didn't have any of these and because 3D platformers and other family-friendly games were the most popular games back then, they felt the need to acquire a studio that had a wealth of IPs like those. And that's why they acquired Rare. Then when they released the original Xbox, attention started to shift towards more mature titles like first-person shooters and thus 3D platformers lost their appeal. That's why I think Microsoft never truly utilised Rare's library of IPs because family-friendly titles started to lose their appeal due to changing trends in the gaming market. I think ultimately they regret acquiring Rare, that's why they put them to work on Kinect Sports during the 360 era just to salvage what they could.
The fact of the matter is that Rare was truly at its peak during the N64 era. Banjo-Kazooie, Conker's Bad Fur Day, Donkey Kong 64, Jet Force Gemini, Perfect Dark and so on. People love these games, Banjo-Kazooie in particular rivaled Super Mario 64 in terms of early 3D platforming and I think that's why people found it so special back then. It's still quite enjoyable today but I would be lying if I said that there's a massive audience for these games. There isn't. But it would definitely draw in a crowd that doesn't normally play on Xbox. So as a smaller title on Game Pass, I think people would absolutely love another Banjo-Kazooie and it would drive up the value of GP.
@Tharsman Im not suggesting anything needs to be multi platform. I’m saying that Sony owns EVO, so games played will be on PS5. In which case, Mortal Kombat cannot be an Xbox exclusive as it wouldn’t be part of EVO if they did that.
@LtSarge
The other issue is that they did try to reive Banjo with 'Nuts and Bolts' on 360, but it wasn't what fans wanted from the series.
The other issue is a lot of the original Banjo team are at Playtonic now.
So I honestly think a different studio would have to take on Banjo, like with how The Initiative is taking on Perfect Dark.
@FatalBubbles
Here's a quote to debunk that;
"EVO's business developer, Mark Julio, took to Twitter after the acquisition to clear up that the tournament will still be open to all platforms".
@Doctorwhoooourgh KI v MK would be absolute fire!!
@FatalBubbles so what? It’s not the only tournament and missing on one of the biggest IPs will just mean the fighting community will move on to a different one. Even more so if Smash Bros also gets removed for the same reason.
Of the WB studio's, NetherRealm seems to offer the 'best' option to any prospective buyer - assuming they own their IP's. The other studio's are making licensed games so won't come with the License - Lego, Harry Potter, DC etc.
Its almost better for Studio's to recruit those employed at WB studio's - get the 'talent' by growing the studio's you have instead of 'buying' a studio with 'no' IP's. Of course it could lead to those WB studio's being closed down which would be a shame.
Both these studios fit what Xbox needs. More family games from TT and a fighting game studio for killer instinct and to combat Street Fighter being exclusive for PS5.
@Royalblues Interesting stuff! Of course they can do what they want with it if they own it, why would anyone think otherwise?
I wouldn’t ever think Smash would come to PS5, that’s just silly. Lol.
I guess if they want to demolish EVO then making it an Xbox exclusive could be a good way to do that.
@FatalBubbles if PlayStation demands all games in EVO are on PS5, it will be Sony that would be demolishing EVO, not anyone else.
@Tharsman As far as I know it’s PC and PS. Smash Brothers would have been the first change from that if it wasn’t cancelled in 2020.
Just sell someone the rights to do a FEAR reboot/remaster PLEASE!!!
@HotGoomba money, MK isnt a crazy license title with other companies and they can get good money fo them... and the othe studio makes lego games....sell em both so you can put your money and efforts into games that sell better and arre considered better all in all. Sometimes they do this to get feelers, meaning they will leak its up for sale to see what people are offering and if they get that special number they will bite if not they sit on it and pretend they never leaked anything.
As long as PlayStation, Activision, EA, and Ubisoft keep their hands off, I don’t care.
Netherealm is the perfect company to make a Killer instinct.
I love that company.
Or even a colab. Between Mortal Kombat vs Killer instinct, i always wanted a game like that.
@UltimateOtaku91 I never said they weren't talented, just that Mortal Kombat IS their main IP, so for them to work on something else might take some getting used to, whereas them being able to take the IP with them would only result in progressively better games.
If the series stays with Warner and another studio has to take over, it definitely remains to be seen if they could achieve the same level of quality with it, or even continue in the spirit of the original.
Either way, it's all water under the bridge now, seeing as the rumor already seems to be debunked.
WB wouldn't want it known that they are selling studio's and would deny everything until it has to be announced legally because it would impact on the rest of the company, its shareholders etc.
Not to say that WB is definitely 'selling' but that if they were, they would deny it up until the point that it has to be announced publicly.
As for the value of those Studio's - NetherRealm, IF they actually own their MK IP, would be more 'beneficial' to a prospective buyer. Without IP's, regardless of the Talent, the 'Studio' name is not necessarily an asset to a prospective buyer. It may make more sense for existing studio's to try and recruit the staff from those studio's to expand their own. Its cheaper than taking on a Whole studio and all the overheads, culture etc that goes with it and you are bringing the right talent into your existing Studio's
@uptownsoul
Jez Corden isn't an insider, he's a reporter.
He has documents showing they are/were for sale and has shown them to other people.
That means the documents he has are probably outdated.
That or WB are being very coy.
Oh well, that means that Microsoft will just have to buy the whole of 'Warner Brothers Games' then.
After all, it does make more sense for 'Warner Bros' to announce that no studios are leaving Microsoft's new purchase.
Only joking.....
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