Hasbro Invests $1 Billion in Video Games to Prove It Can Make Great Titles

Hasbro has invested $1 billion over eight years to build its video game division. The company is focusing on traditional PC and console games before moving into games-as-a-service. CEO Chris Cocks explained the strategy in an interview with The Game Business.

CEO Chris Cocks explains the strategy

Upcoming titles include Exodus and Warlock, both set for release in 2025. Cocks emphasized that the primary goal is to establish Hasbro and Wizards of the Coast as capable of making great games. He noted that traditional games have a higher chance of recouping investment compared to mobile or GaaS titles.

Cocks described the risk-reward equation for different game types. He said that investing $100 million in a mobile or GaaS game has a very low chance of huge success but a high risk of total loss. In contrast, traditional games might not generate billions but have a much higher chance of at least making back the investment, with even failed projects recovering 50 to 70 cents on the dollar.

Hasbro's portfolio includes major brands like Dungeons & Dragons, Magic: The Gathering, Transformers, and G.I. Joe. The company chose to focus on core PC and console games with traditional business models as a safer bet. Cocks stated that there will always be demand for good games that deliver 40 to 50 hours of content at a fair price.

Cocks said that while profitability is desired, the near-term priority is to prove Hasbro can make great games with Exodus and Warlock. He expressed confidence in a long pipeline of game development for the next decade. Hasbro has not confirmed specific release dates or pricing for the upcoming titles.