Disney has confirmed that nine of its gaming franchises have achieved over $1 billion in retail revenue, underscoring the significant financial and strategic importance of video games to the company. Sean Shoptaw, Disney's gaming executive, stated in a blog post that games are now an "fundamental part of the broader entertainment landscape." He added that over half of these billion-dollar franchises have emerged within the last 12 years.
Shoptaw noted that Disney Games generates approximately $3.5 billion in annual consumer spend, exceeding $4 billion in the last fiscal year. This financial success reinforces gaming's position as a "key part of Disney's storytelling strategy in the present and the future." The company's approach, according to Shoptaw, is shifting away from movie tie-ins towards developing original games that offer unique narratives specific to the gaming medium, citing Marvel's Wolverine as an example of this new direction.
Disney operates multiple internal game studios, including Disney Pixar Games, Marvel Games, Lucasfilm Games, and 20th Century Games, all unified under the Disney Games banner. This structure supports the development of new intellectual property and expansions of existing universes.
A significant element of Disney's current gaming strategy involves its substantial investment in Epic Games. With over $1.5 billion invested, Disney views its partnership with Epic as crucial, particularly concerning the social entertainment platform Fortnite. Shoptaw expressed enthusiasm for the potential to integrate Disney characters, stories, and worlds into Fortnite, aiming to create a "truly unique to Disney" experience.
The company's ambition extends to building a "transformational" space within Fortnite where users can "play, watch, and create," serving as a central hub for Disney's diverse entertainment offerings. Disney has already introduced several franchises into Fortnite, with The Simpsons collaboration proving particularly successful. Future plans reportedly include an Arc Raiders-style game within the Fortnite ecosystem.
Disney's renewed focus on gaming aligns with the vision of CEO Josh D'Amaro, who has identified gaming as a potential major growth driver for the company, especially considering its stock performance over the past decade. While past attempts at internal game development, such as Disney Interactive Studios and the Disney Infinity series, faced challenges – former CEO Bob Iger even acknowledged the company's struggles in game creation and publishing – the current strategy prioritizes licensing and strategic partnerships to leverage its vast intellectual property.