WB Games Montreal Bets on AAA Live-Service Game After $200M Flop

• Warner Bros. Games Montreal (WB Games Montreal) developing a new AAA live-service game based on iconic DC Comics intellectual properties amid severe financial setbacks.
• Announcement following layoffs and a tumultuous restructuring of Warner Bros. Discovery's gaming division.

WB Games Montreal is taking another shot at a live-service model. The studio is building a AAA game leveraging key Warner Bros./DC Comics IPs. Job listings for the studio, including a Creative Director role, confirm these plans. They emphasize a live-service strategy centered on prolonged player engagement and post-launch content. This marks a significant pivot for Warner Bros.' gaming division following the costly failure of Rocksteady Studios' Suicide Squad: Kill the Justice League.

In July 2025, reports from Eurogamer.net and Rock Paper Shotgun outlined the responsibilities for the Creative Director position. These duties include oversight across all development phases, from ideation to live operations. The listing underscores the studio’s commitment to mastering long-term live-service ecosystems. It also signals Warner Bros.' renewed push to reclaim ground in this often volatile market.

However, this decision arrives amid significant challenges. Suicide Squad: Kill the Justice League, released in early 2025, faced development hurdles and underwhelming critical reception. The game was a commercial failure, with losses reportedly reaching $200 million. At the same time, other projects like MultiVersus struggled to sustain a player base. The aftermath included layoffs at Rocksteady Studios and fueled growing skepticism about Warner Bros.' ability to succeed in the live-service arena.

Broader financial woes compound these challenges. As of July 2025, reports from Push Square and Forbes reveal a staggering 52% decline in gaming revenue for Q1 2025. The reports partly attribute this decline to $384 million in 2025 write-downs. The company’s July 2025 restructuring narrowed Warner Bros. Discovery’s gaming priorities to four key franchises: DC Comics, Mortal Kombat, Harry Potter, and Game of Thrones. The fallout also led to the closure of subsidiary Rooster Teeth, while Monolith’s Wonder Woman game remains in development as a single-player title. These actions demonstrate a sharp recalibration of focus and investment.

Despite these cutbacks, Warner Bros. remains intent on establishing a foothold in the live-service market. GameSpot reports the new project's success will be critical. It will test WB Games Montreal's ability to execute viable live-service models within the company’s franchise-first approach. The outcome of this venture could ultimately shape Warner Bros.' future competitiveness in the ever-evolving gaming landscape.