Warner Bros. Shuts Down Three Studios, Cancels Wonder Woman Game

Warner Bros. has made the tough decision to cancel its anticipated Wonder Woman game and close three of its development studios: Monolith Productions, Player First Games, and WB San Diego. This news was first reported by Bloomberg's Jason Schreier on Bluesky and later detailed in a comprehensive Bloomberg article. Warner Bros. subsequently confirmed these developments to Kotaku, releasing an official statement that shed light on the reasoning behind these strategic moves.

In their statement, Warner Bros. explained that the closures were part of a broader effort to realign their development resources and investments towards their key franchises, including Harry Potter, Mortal Kombat, DC, and Game of Thrones. The decision to shutter Monolith Productions, Player First Games, and Warner Bros. Games San Diego was described as a strategic shift, not a reflection on the talent within these teams.

The Wonder Woman game, which was being developed by Monolith Productions, will not proceed. Warner Bros. expressed their regret over this decision, emphasizing their desire to deliver a high-quality experience for the iconic character, which they deemed unfeasible within their current strategic framework. They acknowledged Monolith's impressive track record, particularly with the Middle-earth series, which introduced the innovative Nemesis system.

This announcement follows a challenging period for Warner Bros.' gaming division. Earlier reports indicated that the Wonder Woman project had faced difficulties, including a reboot and a change in directors in early 2024. These issues were compounded by broader struggles within the division, such as layoffs at Rocksteady, the underwhelming response to Suicide Squad: Kill the Justice League, and the closure of MultiVersus.

Adding to the turmoil, the gaming division has undergone significant restructuring, highlighted by the departure of long-time games head David Haddad and rumors of a potential sale of the division. The closure of these studios is a significant setback for Warner Bros.' efforts to expand its DC universe through gaming, especially as James Gunn and Peter Safran recently announced that the first DCU video game is still a couple of years away.

The affected studios have rich histories. Monolith Productions, founded in 1994 and acquired by Warner Bros. in 2004, is renowned for its Middle-earth games. Player First Games, established in 2019, developed MultiVersus, which, despite critical acclaim and a successful launch, did not meet Warner Bros.' expectations. WB San Diego, also founded in 2019, focused on mobile and free-to-play games.

These closures are part of a larger trend of layoffs, project cancellations, and studio shutdowns in the gaming industry. In 2023, over 10,000 game developers were laid off, a number that increased to over 14,000 in 2024. While 2025 has seen numerous closures, the exact impact on individuals remains unclear due to less transparency from companies regarding these actions.