Disney Buys $1.5 Billion Stake in Epic Games

Disney and Epic Games have announced a collaboration to create a new games and entertainment universe, leveraging Disney’s extensive portfolio of stories and characters.

This project aims to integrate with Fortnite, offering players a chance to enter the worlds of Disney, Pixar, Marvel, Star Wars, Avatar, and more. But this comes at a cost, as Disney will invest $1.5 billion for an equity stake in Epic Games, pending regulatory approvals.

“Our exciting new relationship with Epic Games will bring together Disney’s beloved brands and franchises with the hugely popular Fortnite in a transformational new games and entertainment universe,” said Robert A. Iger, Chief Executive Officer, The Walt Disney Company, in a statement on Wednesday.

“This marks Disney’s biggest entry ever into the world of games and offers significant opportunities for growth and expansion. We can’t wait for fans to experience the Disney stories and worlds they love in groundbreaking new ways,” added Iger.

“Disney was one of the first companies to believe in the potential of bringing their worlds together with ours in Fortnite, and they use Unreal Engine across their portfolio,” said Tim Sweeney, CEO and Founder, Epic Games, in a statement. “Now we’re collaborating on something entirely new to build a persistent, open and interoperable ecosystem that will bring together the Disney and Fortnite communities.”

Expect more Disney and Epic Games news to come as part of this collaboration.