Perrette said WBD's recent gaming output has focused on AAA games for console, and that's great when a game like Hogwarts Legacy sells 22 million copies and becomes the best-selling game of the year, but this kind of success is never guaranteed in what Perrette said was a "volatile" market. He pointed out that one of WBD's next big games, Suicide Squad: Kill the Justice League, was a disappointment for the company.

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So the plan going forward, he said, was to help reduce volatility by focusing on core franchises and bringing at least some of them to the mobile and free-to-play space, as well as continuing to invest in live-service games that people play--and spend money on--over a long period of time. This will help WBD generate more consistent revenue, he said, going on to tease that WBD had some new mobile free-to-play games coming this year.

"Rather than just launching a one-and-done console game, how do we develop a game around, for example, a Hogwarts Legacy or Harry Potter, that is a live-service where people can live and work and build and play in that world in an ongoing basis?" he said.

Warner Bros. Wants To Shift Away From "Volatile" AAA Console Games, Lean Into Free-To-Play And Mobile - GameSpot

Perrette went on to say how he has no idea how the gaming landscape will evolve over time, but he believes owning the IP and studios could help WBD succeed where others might not. He also called out things like virtual reality and "virtual worlds" as places that will "increase in scale and adoption" in the future.

Lol. Zaslav and his team are going to burn this company to the ground.

How...Does that even happen, you make a massively successful single-player game in 2023, the best selling game of the year, it's a one and done title, then you release a live-service title, it horrifically bombs, and your takeaway is that the one and done single player titles suck and you need more live-service titles.

Alan Wake 2 can't break even? A shame. I looked for it in stores everywhere but couldn't find it

Absolutely clueless. 

It's outpacing all Remedy's previous titles, Lol.

Alan Wake was never a huge IP but it'll break even, eventually.

Doesn't help it's Epic Store exclusive.

WB may be the dumbest publisher in the industry right now. Their 2 most successful games in recent years were singleplayer, while their GaaS Suicide Squad game was just a massive flop. Their decision, make more GaaS games, turn Hogwart's Legacy 2 into a GaaS game.

They are moronic at movie/tv decisions as well. Renamed HBO Max to just Max and lost millions of subs due to it. Deleting fully finished movies like Batgirl and Coyote vs Acme from their servers instead of releasing them, even though all of the social media buzz about them getting deleted gave them tons of free advertising.

I actually loathe Zaslav

He doesn't give a shit about the creative arts at all, he is purely a money hungry dickhead, devoid of any creativity, he is dragging WBD down, oh and he actually watched Coyote vs Acme as well, Lol.

Thank fucking God the Paramount/WBD merger fell through, Paramount will have to sell to someone eventually but I'm glad it isn't WBD.

I was upset they didn't release Batgirl, mostly because it had Brendan Fraser in it, Lol.

Trust me WB, it was a much bigger disappointment for gamers.

Breaking even is a loss because if you are not making a profit, it's hard to greenlit another project with a certain amount of budget and risk a miss.  A company cannot sustain itself breaking even as one miss will basically nuke it.  In a high-risk industry like games, it really makes the next projects even more important, but it also make the company want to reduce as much risk as possible, so they get into those corp mindset where they kill basically any risk and go for things, they believe is less risky.

Maybe the solution is to make PC only small risky cheap games with as much innovation you can throw at it to see how it fares and go from there.  Its funny if Disney and some of these other companies with sellable properties are looking at the market and thinking we can make a killing hiking up our license fees and profit margins because the industry is so risk adverse, they will look for anything that reduce risk.