Purchase of D&D Beyond to Add Nearly 10 Million Players to Digital Tabletop Ecosystem—The Fastest-Growing Dungeons & Dragons Category
Hasbro says it is acquiring D&D Beyond, the leading digital toolset and game companion for the company’s groundbreaking fantasy gaming franchise Dungeons & Dragons.
D&D Beyond is currently owned by Fandom, the world’s largest fan platform. Fandom has owned and operated D&D Beyond since 2019 and has rapidly grown the direct-to-consumer business to be the leading role-playing game (RPG) digital toolset on the market with close to 10 million registered users.
“The acquisition of D&D Beyond will accelerate our progress in both gaming and direct to consumer, two priority areas of growth for Hasbro, providing immediate access to a loyal, growing player base,” said Chris Cocks, Hasbro Chief Executive Officer. “Hasbro’s gaming portfolio is among the largest and most profitable in the industry, and we continue to make strategic investments to grow our brands, including in digital.”
Fandom is the world’s largest fan platform where fans immerse themselves in imagined worlds across entertainment and gaming. The company reaches more than 300 million unique visitors per month and hosts more than 250,000 wikis. Fandom.com is widely considered a top source for in-depth information on pop culture, gaming, TV and film, where fans learn about and celebrate their favorite fandoms.
Fandom’s Gaming division manages its direct-to-consumer subscription businesses which includes the D&D Beyond segment which Hasbro has now acquired. Cocks says this strategic acquisition, for $146.3 million in cash, will further strengthen Hasbro’s capabilities in the fast-growing digital tabletop category while also adding veteran talents to the Wizards of the Coast team and accelerating efforts to deliver exceptional experiences for fans across all platforms.
Since 2017, D&D Beyond has helped to power Dungeons & Dragons tabletop play and deliver the brand’s eighth consecutive year of growth in 2021. Over the last three years, the royalty paid to Hasbro by D&D Beyond has represented a significant contribution to the fastest growing source of revenue for Dungeons & Dragons.
“D&D Beyond has been one of our most valuable partners in the digital space for the past six years and we’re excited to bring their best-in-class talent onto our team,” said Cynthia Williams, President of Wizards of the Coast and Digital Gaming. “The team at D&D Beyond has built an incredible digital platform, and together we will deliver the best-possible Dungeons & Dragons experience for players around the world.”
But Hasbro believes it can do better by bringing D&D Beyond in-house—or, in this case, into the corporate dungeon.
“The strategic acquisition of D&D Beyond will deliver a direct relationship with fans, providing valuable, data-driven insights to unlock opportunities for growth in new product development, live services and tools, and regional expansions,” Hasbro said in a statement.
As part of Hasbro’s Wizards of the Coast segment, the brand’s leadership will be able to drive a unified, player-centric vision of the world’s most popular role-playing game on all platforms.
“This is the perfect next step for the talented D&D Beyond team, who built a transformative digital product that engaged and delighted millions of D&D fans around the world,” said Perkins Miller, CEO of Fandom. “We can’t wait to see what this team will do next as an integral part of the D&D franchise, and I look forward to investing in more brands and products to super serve Fandom’s 300 million+ global fans.”
Wizards of the Coast, which includes both Dungeons & Dragons and Magic: The Gathering, have been Hasbro’s fastest growing and most dynamic segment for years. Cocks formerly ran that division until he was recently elevated to the position of Hasbro’s CEO. It’s expected further growth of the Wizards’ franchises will be a top priority in terms of board and video gaming, as well as development of toys, films and TV series.
In fact, Hasbro says its continued investment in Wizards of the Coast’s digital growth for its two major franchises is representative of the significant opportunity in PC and mobile gaming, an industry that represented over 3 billion players globally and $129 billion in revenue in 20211.
With the launch of Magic: The Gathering Arena on PC in 2019 and on mobile in 2021, Hasbro says Wizards has built a unique ecosystem of best-in-class tabletop and digital play to create deeper player engagement and satisfaction and grow revenue across all expressions and regions.
“Similarly, with more than 80% of Dungeons & Dragons fans having already played the game virtually in 2021, aided by online digital platforms such as D&D Beyond, this acquisition accelerates the game’s ability to penetrate new markets, gather valuable consumer insights and provide players with the best Dungeons & Dragons experience on all platforms,” the company says.
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