LEGO wants to create its own video game division

LEGO, the renowned toy manufacturer, is taking a significant step in its digital evolution by planning to form an internal video game development team. This decision, announced by CEO Niels Christiansen in an interview with Financial Times, aims to give the company greater control over its digital offerings, a notable shift compared to its recent history in the video game industry.

An investment they have been working on for years

For a long time, LEGO has relied on third-party video game development, as evidenced by its successful title LEGO Star Wars and the popular LEGO Indiana Jones series. However, in the 2000s, LEGO was forced to sell its video game division to avoid bankruptcy, a move that left the company in the hands of external studios. Now, with a record revenue of $10.1 billion in 2024 —a 13% increase from the previous year—, LEGO seems to be in a strong position to take back control of its digital development.

Since 2022, LEGO has invested hundreds of millions of dollars and has tripled its software engineering staff. This expansion is part of a broader effort to increase its presence in the digital realm, called “Project Darwin,” which initially focused on the digitization of its products. The company is now aiming to develop video games internally that can complement its physical and digital toy offerings.

Despite this move towards self-sufficiency, uncertainty remains about the future of its collaborations with external studios. The company will need to balance its new approach with the continuity of its successful franchises. Meanwhile, LEGO’s relevance in the world of video games remains evident, highlighted by the popularity of LEGO Fortnite, which has 87 million players. This change could mark the beginning of a new era for the Danish brand or simply be another component of its global strategy in the competitive digital market.

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