Disney, one of the biggest entertainment companies, has decided to acquire a $1.5 billion stake in Epic Games, makers of the known persistent metaverse platform Fortnite. The companies will collaborate to develop a metaverse featuring Disney-owned intellectual properties (IPs) which will benefit from interaction and coexistence with Fortnite.
Disney to Acquire $1.5 Billion Stake in Epic Games, Aims to Create Joint Metaverse
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The Disney Metaverse Is Coming
Disney is potentially taking its franchises to the metaverse. On February 7, the company announced a deal with Epic Games, the company behind the metaverse experience powerhouse game Fortnite, to produce a platform with the presence of the legendary intellectual properties (IPs) of the company.
To this end, Disney will acquire a stake in Epic for $1.5 billion to support the company in fulfilling what it called a “multiyear project.” While the announcement avoided the mention of the word metaverse, it described this new product as a “new persistent universe” that will offer opportunities for users to “play, watch, shop and engage with content, characters, and stories from Disney, Pixar, Marvel, Star Wars, Avatar” and other franchises.
The platform would benefit from interactions and coexistence with Fortnite, giving it a starting potential audience of around 400 million registered users. About this team-up, Bob Iger, CEO of Disney, stated:
This marks Disney’s biggest entry ever into the world of games and offers significant opportunities for growth and expansion. We can’t wait for fans to experience the Disney stories and worlds they love in groundbreaking new ways.
Disney’s avoidance of the metaverse term might be related to the earlier failure of the company in developing its metaverse strategy, commandeered by former CEO Bob Chapek, who enlisted in-house Mike White as SVP next-generation storytelling and consumer experiences for this task, stating the metaverse was the “the next great storytelling frontier” back in 2022.
Nonetheless, these plans ended in April 2023 when the layoffs that affected 7,000 employees resulted in the dissolution of the whole metaverse division of the company. However, the alliance allows the company to take a new try at establishing a presence in the metaverse, now with the expertise of an already-established gaming company like Epic.
What do you think about Disney’s acquisition of $1.5 billion in Epic Games’ stake and the development of a Disney-themed metaverse? Tell us in the comments section below.
