Disney, Epic Games Expand Partnership for New Virtual Entertainment Universe

Disney is tapping into the expertise of Epic Games for new virtual experiences.

Epic Games, best known for the hit battle royale game Fortnite, is teaming up with Disney for a big collaboration. The partnership will produce a new games and entertainment universe featuring popular Disney-owned franchises. With the new expanded partnership, Disney will invest $1.5 billion to acquire an equity stake in Epic Games. 

The two companies have worked together previously for Fortnite content integrations, season collaborations, in-game activations, and live events. Disney has also utilized Epic Games’ Unreal Engine in the development of its own games as well as Disney Park attractions, including Kingdom Hearts 3 and Millennium Falcon: Smugglers Run. 

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. This marks Disney’s biggest entry ever into the world of games and offers significant opportunities for growth and expansion.

Robert A. Iger, CEO, The Walt Disney Co.

Working with the Fortnite game, the new virtual universe will offer participants a chance to engage with content from fan-favorite franchises, including Disney, Pixar, Marvel, Star Wars, Avatar, and more. All powered by Unreal Engine, the experience will include chances to play, watch, shop, and more. 

Disney is aiming to use the opportunity to expand the reach of its brands to new audiences. The company reports a shift to a licensing business model that started in 2016, with popular licensed games seeing success. Last year’s Marvel’s Spider-Man 2 received multiple Game of the Year nominations and Disney mobile games have a grand total of 1.5 billion global installs.