A sequel to Hogwarts: Legacy appears to have been confirmed in an extensive report into the status of Warner Bros troubled video game business, which has recently replaced its division head following multiple major flops.

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Industry insider and reporter Jason Schreier worked on the investigation for Bloomberg, which looked back on a "dismal year" for Warner Bros Games, which saw a combined $300 million write-down on titles Suicide Squad: Kill the Justice League, Harry Potter: Quidditch Champions and MultiVersus.

Gaming division head David Haddad was recently confirmed to be stepping down from his position, with anonymous staffers telling Bloomberg that it has lacked a "strong, cohesive vision" during his tenure.

They complained of "ineffectual trend-chasing and wasted development time" that has resulted in "reputational hits" and the loss of "key staff members" during a period which also saw parent company Warner Bros change hands between AT&T and Discovery, which only added to any uncertainty felt.

Warner Bros Discovery CEO David Zaslav has commented that the gaming division is "substantially underperforming its potential", with Bloomberg's report outlining his intention to "scale back" development to focus on "just a few franchises".

Fortunately for fans of Hogwarts: Legacy, the Wizarding World appears to be one of those IPs set to play a role in the future of WB Games, with Bloomberg reporting that studio Avalanche is working on "new content" for the original game "as well as a sequel".

However, Schreier's report notes that "questions linger about whether the success of the first game [which sold 34 million copies] can even be replicated, let alone surpassed — or if the pent-up demand has already been satiated".

Two robed students stand before a red and blue magical bird.
Hogwarts Legacy. Warner Bros Games

There is particular concern following the commercial underperformance of recent spin-off Quidditch Champions, which indicated that not every Harry Potter-branded project can be regarded as a sure-fire success.

JB Perrette, Warner Bros head of games and global streaming, appeared optimistic, however, telling Bloomberg: "We’ll get right back to profitability in 2025. We won't get back to the profitability we want to get back to in the next two to three years.

"It will take two to three years to rebuild, reset to levels we want to be at, but the bounce back is immediate as far as going from loss-making to profitability."

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Authors

David Craig
David CraigSenior Drama Writer

David Craig is the Senior Drama Writer for Radio Times, covering the latest and greatest scripted drama and comedy across television and streaming. Previously, he worked at Starburst Magazine, presented The Winter King Podcast for ITVX and studied Journalism at the University of Sheffield.

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