AT&T is shopping Warner Bros. Interactive Entertainment, the gaming division of WarnerMedia, to several video game publishers according to a report from CNBC. The gaming unit of Warner could fetch a price of $4 billion for whatever company ends up purchasing it, with potential interested parties including Take-Two Interactive, Electronic Arts, and Activision Blizzard.
Warner Bros. Interactive Entertainment is comprised of developers such as NetherRealm Studios (Mortal Kombat, Injustice), Rocksteady Studios (Batman: Arkham), Monolith Productions (Shadow of Mordor, Shadow of War), TT Games (Lego franchise), Avalanche Software (Disney Infinity), and several WB studios around North America. The gaming unit also works with licenses such as Game of Thrones, Harry Potter, and Cars. According to the report, since many of the licenses under the gaming unit, such as Game of Thrones and Harry Potter, are intellectual properties owned by Warner, the deal might feature some sort of commercial-licensing agreement where AT&T would receive part of the revenue from these IPs.
This news comes following an executive shuffling at Warner and AT&T, as the former WarnerMedia CEO John Stankey readies to take over as CEO of AT&T on July 1, while former Hulu CEO Jason Kilar stepped into Stankey's role as CEO of WarnerMedia on May 1. Warner Bros. Interactive Entertainment's most recent major release was Mortal Kombat 11: Aftermath from NetherRealm Studios, which launched on May 26.