Lego Forms In-House Video Game Development Team
Lego is assembling an internal video game development team to craft a new gaming experience.
Lego’s Growing Ambition in the Video Game Sector
For many years, Lego has carved out a niche in the video game industry, featuring both licensed titles with iconic movie characters in digital brick form and physical sets like the new Mario Kart. Now, the Danish company is taking a more direct approach in this arena.
Moving Towards In-House Video Game Production
Lego CEO Niels Christiansen told the Financial Times that the company is looking to establish an internal game development division. “As long as we’re under the Lego brand, we can offer experiences for children of all ages, whether digital or physical,” he stated.
In preparation for this shift, Lego has invested hundreds of millions of dollars to triple its software developer staff to over 1,800. “We’ve made substantial investments for the future—I’d almost prefer to overinvest. It’s the advantage of being a family-owned business with a long-term view,” Christiansen added.
The Risks of Independence
It remains uncertain whether Lego will cease collaborations with external developers. Such a move could be risky, considering the success of Lego games developed by third-party studios over the past two decades. Hits like Lego Indiana Jones: The Original Adventures and Lego Star Wars: The Skywalker Saga, along with non-licensed games like Lego 2K Drive and Lego Fortnite which attracted 87 million players, have been pivotal.
Video game creation is challenging, and Lego’s development team will need to balance engaging gameplay with the brand’s signature humor. However, bolstered by recent financial successes, Lego is well-positioned to take on this challenge.
A Rapidly Growing Company
Last Tuesday, Lego announced a 13% revenue increase in 2024, reaching 74.3 billion DKK ($10.9 billion)—nearly double its earnings from five years ago. Its operating profit also rose by 10% to 18.7 billion DKK ($2.7 billion). In addition to expanding its video game ventures, the company has reacquired its Legoland theme parks in a bid to diversify beyond its traditional brick-based business.