Everyone can calm down and hold onto their dice – apparently that rumor about Tencent courting a Dungeons and Dragons acquisition was nothing more than an illusion. Dungeons & Dragons (D&D) finds itself at a crossroads, poised on the cusp of a potential ruleset revamp and an ambitious virtual tabletop project as the TTRPG commemorates its 50th anniversary this 2024 – and it’s staying put.
Riding the wave of success generated by Baldur’s Gate 3, the popular tabletop RPG is not without its challenges. Wizards of the Coast (WotC), the driving force behind D&D, recently weathered a storm of layoffs, and echoes of the OGL (Open Gaming License) fiasco from a year ago still reverberate.
Rumors swirled regarding a potential sale of D&D to Tencent, a colossal conglomerate with diverse holdings, including Remedy Entertainment, Paradox Interactive, FromSoftware, Epic Games, and notably, a 30% stake in Larian Studios—the studio behind the successful Baldur’s Gate 3, and alleged mediator of the deal.
The speculation gained traction when Chinese news outlet Speed Daily, translated by Pan Daily, reported that WotC parent company Hasbro was allegedly “seeking to sell its well-known IP Dungeons & Dragons due to a perceived “financial crisis.” This, despite D&D being a significant revenue driver for Hasbro, achieving record-breaking years according to a financial report from last October.
Update: Wizards of the Coast denies rumours of selling the Dungeons & Dragons IP to Tencent.https://t.co/RcF84rBfuW pic.twitter.com/4AilzFiNP5
— Dicebreaker (@joindicebreaker) February 1, 2024
Wizards of the Coast swiftly addressed these rumors, debunking the entire debacle in a statement provided to Dicebreaker. While confirming ongoing discussions with Tencent regarding potential partnerships, WotC emphatically stated that the talks did not involve selling the Dungeons & Dragons intellectual property:
We regularly talk to Tencent and enjoy multiple partnerships with them across a number of our IPs. We don’t make a habit of commenting on internet rumors, but to be clear: we are not looking to sell our D&D IP. We will keep talking to partners about how we bring the best digital experiences to our fans. We won’t comment any further on speculation or rumors about potential M&A or licensing deals.
In essence, D&D remains firmly in the hands of Wizards of the Coast – and Hasbro. The more plausible scenario is that Tencent, given its successful collaboration on Baldur’s Gate 3, may be considering investing in another D&D game. Such a move aligns with the current trend of expanding digital experiences within the realm of tabletop gaming.
And just to hammer home that the rumored purchase of D&D by Tencent is just some sort of illusion spell, Larian Studios CEO (and man who looks good in full plate armor) Swen Vincke denied being involved with a tweet on his official X (formerly Twitter) account:
It's silly that I should do a tweet about not buying something that is not for sale so I won't. But in case you're wondering, we're not. Hope that clears it up.
— Swen Vincke @where? (@LarAtLarian) February 1, 2024
However, the environment surrounding D&D is understandably tense. Hasbro’s recent layoffs affected several senior staff members, including game designers, art directors, and Liz Schuch, the former Head of Publishing and Licensing with a remarkable 28-year tenure at Wizards of the Coast.
It is true that Wizards of the Coast had previously partnered with Tencent to publish the digital version of Magic: The Gathering Arena, their trading card game, within Chinese markets, which gives plausibility to the rumors that circulated.
Hasbro’s strategy regarding digital media shifted in 2022, focusing on core IPs and licensing out to third-party companies where appropriate. The in-house project tied to D&D, Dark Alliance, did not meet sales expectations, prompting speculation that Hasbro is keen to replicate the success of Baldur’s Gate 3 with future endeavors.
Despite robust performances from Magic: The Gathering and D&D, Hasbro experienced financial losses throughout the four fiscal quarters of 2023. To counter this, the company resorted to layoffs, affecting nearly 1,100 employees – just two weeks before Christmas, too.
Amidst this uncertain landscape, Dungeons & Dragons is poised to release three new core rulebooks later this year, laying the foundation for the next decade of creative development in the tabletop RPG space. Despite the challenges faced in 2023, including the OGL debacle, AI controversies, and product recalls, D&D stands at its zenith, more successful and robust as a brand than ever before.
While the Dungeons & Dragons community may be apprehensive about the uncertainties surrounding the franchise, Wizards of the Coast asserts control over the beloved tabletop RPG. So the worries about the Tencent “dragon” adding D&D to its hoard is dispelled… for now.
