Warner Bros. announced that they now have full control of Machinima. It would mean boosting the company's digital programming company in the arena of fandom and gamer culture which is the trend nowadays. It costs a little less than $100 million. It will run the Digital Networks group that caters to top digital businesses.
The deal is well-anticipated when Warner Bros. invested in the company two years ago. Machinima will now operate as part of Warner Bros. Digital Networks division. Warner Bros. is certain that more synergies could develop between Machinima and DC Entertainment properties under one roof. Video games can add up too, Hollywood Reporter noted.
Machinima is renowned for its gaming ventures with high engagement. Fans of DC films and other TV shows play their games so, this is perceived as a profitable merger. Craig Hunegs, president of Warner Bros. Digital Networks, speaks highly of Machinima and confident to produce more exciting and compelling content.
Warner Bros.' was already having a business relationship with Machinima even before YouTube was launched in 2000. At the time, YouTube is not yet multichannel networks. Warner Bros' $18 million investment in 2014 and $24 million in February 2015 is substantial enough for the major stake deal, according to Variety.
In fact, Warner Bros. is the priority taker with having the option to buy out Machinima when it invested. Machinima creates series, scripted and unscripted with around 100,000 creators, entertaining 150 million viewers. Machinima CEO Chad Gutstein is happy with the new arrangement having direct access to the intellectual property, sales and even distribution, while still doing their geeky work.
In line with Time Warner's digital strategy direct to consumer goal, Warner Bros.' parent company, Warner Bros. Digital Networks will now work closely with Turner and HBO with the Machinima advantage on present and future OTT services coming up soon.
