Toy Companies Press Play on Gaming

By Mark Seavy 

Toy corporations are able to compete within the online game and cell gaming area by shifting between inside improvement, outbound licensing, or a mix of the 2.  

The purpose, beginning with the emergence of Mattel Electronics within the early Nineteen Eighties, has all the time been to determine a house for IP in a rising market. And, with Mattel’s resolution to determine a self-published enterprise (the primary product is due in 2026) along with outbound licensing, the merger of toy manufacturers and video video games is choosing up velocity. 

Hasbro’s licensing settlement with developer Scopely for Monopoly Go!, for instance, produced $44 million in royalty income in Q2 and is producing $12-$14 million in month-to-month income, up from an earlier forecast of $10 million, Hasbro CFO Gina Goetter stated. Scopely additionally launched collaborations with Star Wars for the cell sport throughout May and June.  

At the identical time, Hasbro is working with Archetype Entertainment on the Exodus science fiction role-playing sport (RPG) that’s due in 2026 for PC and online game consoles, capping improvement of a title beforehand introduced in 2023. It additionally has licensed developer Giant Skull for a single participant action-adventure title for PCs and online game consoles. 

Mattel, in the meantime, licensed Outright Games for Barbie Horse Trails, which can be launched October 10 for consoles and PCs. And developer Millstone launched the licensed Hot Wheels Unleashed 2 in 2023. The toymaker, whose historical past in online game consists of Pictionary (Nintendo Entertainment System, 1990) and Masters of the Universe (2012), can also be growing a title internally that’s due in 2026.  

“We are pursuing both licensing and internal development in parallel as licensing lets us scale quickly by partnering with developers and expanding our IP reach,” stated Marcus Liassides, Head of Digital at Mattel. “At the same time, self-publishing builds long-term value through deeper fan engagement and full creative control. These strategies are complementary and strengthen Mattel’s franchise ecosystem and reflect our long-term commitment to digital entertainment.” 

The mixed methods of inside improvement and outbound licensing are the newest department within the toymakers’ online game and cell gaming methods.  

Mattel launched Mattel Electronics in the course of the first online game increase when it bowed the Intellivision machine in 1979. It made one other push in 1998 in shopping for The Learning Co. (whose titles included Carmen Sandiego and Myst) for $3.8 billion however the academic software program developer was later bought by Mattel at a loss.  

Hasbro, in the meantime, launched Hasbro Interactive in 1995 with a purpose of growing video games round Monopoly, Scrabble, and different IP and had some success with Rollercoaster Tycoon. But Hasbro later bought the enterprise to Infogrames in 2001 and shifted to outbound licensing with Activision and Electronic Arts. 

“We are tapping into the portfolio of collector and [kidult-focused] brands across Hasbro for video and mobile games,” CEO Christopher Cocks stated. “We’re building a diverse, high-quality slate that strengthens our connections with fans and unlocks new growth for Hasbro’s digital game portfolio.” 

Other toy corporations are increasing their efforts within the gaming panorama however have additionally struggled to search out their footing. Spin Master Corp. acquired Swedish sport developer Toca Boca in 2016 and revamped it a number of occasions. Most just lately, Spin Master introduced plans to close down the Toca Boca Days cell title efficient August 25, a foray into multiplayer video games that launched final yr. It had examined the sport throughout New Zealand, Australia, Sweden, and Canada. With that transfer, Spin Master will shift focus to Toca Boca World and Pikwik, a preschool cell title that has 479,000 subscribers. Pikwik itself was created in 2023 from what had been Toca Boca Junior. 

“We’ve made the strategic decision to pivot our focus away from Toca Boca Days to double down on accelerating Toca Boca World,” CEO Christina Miller stated. “Building social multiplayer experiences within the Toca Boca universe has provided us with valuable insights. We are now leveraging those learnings and tech we developed to future-proof the Toca Boca franchise.”