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Are Fortnite-style branded collaborations the key to Overwatch 2’s future success?

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3 years ago

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Reading Time: 4 minutes

 

It’s been a rough month for the launch of Overwatch 2. In the first few days of its release, Blizzard’s long-awaited sequel to the 2016 team-based shooter was plagued with connection issues, leaving millions of players unable to enter matches. While many of the problems relating to server issues have now been addressed, Blizzard now has another challenge on its hands: making enough sales from microtransactions to support the franchise’s move to a free-to-play model.

So far, that’s been pretty difficult. Overwatch 2’s recent Halloween event, Halloween Terror, introduced a variety of themed character and weapon skins into the game for the ‘discounted’ price of 2000 Overwatch Coins each, roughly the equivalent of $20. A legendary skin for the character Kiriko was available for 2600 Overwatch Coins, a discount on the original price of 3700 Overwatch Coins. As you might imagine, this is already causing upset amongst some players, especially as this year’s Halloween update removed the option to earn unlockable skins simply by progressing through the game.

Evidently, some players aren’t willing to spend over $20 for an alternative outfit for their character. However, we do know that players are more than happy to spend roughly the same price in other free-to-play games such as Fortnite to unlock characters from popular franchises, whether that’s Goku from Dragon Ball Z or Marvel’s Spider-Man. This is something that Jon Spector, Overwatch’s commercial leader and vice president at Blizzard, seems well aware of, according to a recent interview with GameInformer.

In the interview, Spector announced that while he isn’t a Fortnite player, he thinks it’s ‘super cool’ and ‘awesome’ to see branded collaborations such as Naruto appear in Fortnite.
“As we look at the Overwatch 2 space, those are things that we’re interested in exploring,” he says.

So, with Overwatch 2’s current monetisation strategies leaving a lot to be desired, could we see a shift towards branded collaborations as a core monetisation strategy rather than the traditional legendary and epic skins? Dropping the price of skins and embracing Fortnite-style collaborations would make a lot of commercial sense for Overwatch 2, especially as the company still seems torn on its pricing, according to a recent survey sent out to select players.

We know that Fortnite’s collaborations with the likes of Marvel, NFL, Nike and Ferrari have been hugely successful for Epic, largely due to the amount of revenue they generate from the sale of cosmetic items such as skins, emotes, banners and emoticons. As an example, the game’s collaboration with NFL resulted in 3.3 million NFL-themed skins being sold for $15 each in November and December 2018, according to leaked court documents from the Apple v Epic case. That’s nearly $50 million in revenue.

The big question now is how easily Overwatch 2 can replicate Fornite’s primary business model, and how well-suited these collaborations are for the Overwatch brand.

One of the biggest challenges facing Overwatch 2 is the fact it’s a hero-based shooter, with each hero boasting their own unique set of skills, traits and playstyles. As is often the case with team-based shooters, players often find themselves favouring specific heroes, whether that’s offensive heroes or defensive heroes that suit their preferred styles of playing.

This means Overwatch 2 will have to think carefully about how it rolls out branded collaborations. As an example, will a Marvel collaboration introduce special themed skins for every single hero in the game, or will it introduce a new limited-time character into the game? The introduction of any new character will have to be calculated carefully, so it doesn’t negatively impact the balance of existing characters.

It’s more likely that Overwatch 2 will introduce themed skins rather than new characters such as those seen in Dragon Ball Z. Depending on the popularity of the IP that Overwatch 2 pursues, I suspect players will be more susceptible to investing $15 or $20 into a skin that turns their favourite Overwatch hero into an alternative version of their favourite anime, film, TV or comic book characters, whether that’s Spider-Man, Darth Vader or one of The Transformers.

The hero-based mechanics of Overwatch 2 could also mean skins are only available for specific characters. While this might cause backlash amongst some fans at first, it could also open up alternative revenue streams. As an example, the style and appearance of the tank hero Reinhardt lends itself well to a Transformers skin. Players that don’t typically choose Reinhardt but are huge Transformers fans may be tempted to purchase a Transformers skin for him and start using him more. In turn, this could lead to a knock-on effect for players who go on to purchase Reinhardt’s wider cosmetic items.

There’s no denying that Overwatch 2 is a great game; the reviews have been overwhelmingly positive. If Overwatch 2 continues to struggle with monetisation models, branded collaborations like those in Fortnite might be the answer to its future success. But taking an established franchise that previously carried a full-price retail tag and moving it over to a free-to-play model is no easy task.

Key considerations when choosing your target IP

If you’re a game developer looking to emulate Fornite’s IP success, there are a few things you need to consider before bringing IP into your game.

  • Don’t pick a target IP just because it’s a really popular brand or character. Look at your game and your players and ask yourself if it’s something that will resonate with them. For example, a clever partnership between The Walking Dead and State of Survival brought 20 million new players to the game. So a good understanding of your player demographics is a must. Be prepared to prove this to the license holders, too, as they’ll be just as interested to know if there’s any audience overlap.
  • It may sound simple, but make sure you do your homework. Different IP rights holders can have very different priorities and strict requirements for usage. Bigger properties, especially ones that are popular with children, can be especially stringent as its in the holders interests to carefully limit their use. So, it’s up to developers to demonstrate their ability to comply with them. Being prepared can give you a huge advantage, and help clear some of the initial screening phases and get in front of the right decision-makers.
  • There are more ways to integrate IP into your game than ever. So think carefully about your main goals, as simpler in-game items, like cosmetics and skins, are often much easier to negotiate with rights holders due to less complicated terms, plus, lighter development and creative costs can make them much quicker to roll out. FIFA 23 recently brought Apple TV’s Ted Lasso as well as Marvel cards to Ultimate Team, with these simple, smart deals opening the door for more collaborations in future.
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Investment Opportunities in the Multi-billion-dollar Gaming Sector

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2 weeks ago

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August 19, 2025

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Reading Time: 3 minutes

 

The Gaming industry is growing day by day. It has already become a global entertainment giant. From sweeping open-world quests to quick, addictive mobile games, the industry has expanded into a multi-billion-dollar giant.

The global gaming industry was valued at over £135 billion ($184 billion) in 2023 and is projected to reach £184 billion ($250 billion) in 2030. It is driven by cloud gaming, which eliminates the need for costly consoles, high-speed internet, and immersive technologies like VR and AR. Revenues from VR gaming alone in 2023 exceeded £1.9 billion ($2.6 billion), and the AR gaming business is set to grow at a pace of over 30% annually.

The transition from physical to digital is virtually complete: in large markets, over 90% of games sold today are digital, with downloads, live services, and subscriptions replacing cartridges and discs.

Alternative Ways to Invest in Gaming

The gaming industry is not merely a business of copying the most recent blockbusting release; it’s a rich, diverse ecosystem with several streams of revenue, from historic game publishing to aggressive esports and the burgeoning betting and online gambling sector. Today’s investors are able to access entertainment-oriented and wagering-led segments, each with their distinct risk and reward profiles.

Video Game Development & Publishing

Envision house brands behind the mega-franchises of Call of Duty, FIFA or The Legend of Zelda. These brands have enormous fan bases and generate revenue that stretches far past the initial buy, with in-game purchases, downloadable packs and subscription content keeping gamers engaged and expenditures year-round.

Esports

Esports have now evolved from casual living-room games to multi-million-dollar tournaments streamed live in front of a global audience. Internet gambling on esports competitions is also becoming a niche but growing market, offering a new source of revenue for both organisers and financiers.

Online Betting & Casinos

This segment is focused on convenience, accessibility and growing demand for real-money play. Online gaming sites and casinos are taking advantage of more lenient rules in key markets, so that they now represent a more mainstream and profitable part of the gaming economy.

Spotlight on Online Gambling

Online casinos are no longer merely whirring slot machines; they’re pushing boundaries. Some of the top 20 online casinos have gone beyond traditional slots and table games, incorporating esports betting, skill-based game challenges and interactive live dealer games.

Why does that matter to investors? Easy. It signals flexibility. These platforms are captivating players where they are: at their phones, on streaming websites, and in hybrid entertainment spaces that blur the line between socialising and gaming. This flexibility is what can keep revenue streams consistent even when trends shift.

Why Investors are Paying Attention

The gaming market has something that a lot of others envy: loyal consumers who are spenders on a regular basis. It’s £3 ($5) on a character skin or £36 ($50) on a new game, but the spend is cumulative, and it doesn’t evaporate during poor economies.

And gaming pervades everywhere. A hit title in Japan can find fans in Brazil in days. And for companies, that global reach means multiple streams of revenue and endless room to grow.

Risks in Investment

There is no investment without risk. Regulations change overnight, especially in online gaming. Game developers also come and go with their biggest hit; one flop can jerk their stock price. And in this competitive environment, being new is a never-ending struggle.

Gaming Investment Strategies

Diversify among multiple corners of the sector. That way, you’re not betting everything on one game or one trend. Gaming-focused ETFs deserve a look as well if you enjoy a pre-packaged solution that spreads the risk.

The post Investment Opportunities in the Multi-billion-dollar Gaming Sector appeared first on European Gaming Industry News.

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German Games Market Grows in the First Half of 2025

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2 weeks ago

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August 14, 2025

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Reading Time: 2 minutes

 

The German games market has returned to growth: following a year in which revenue from games, games hardware and online gaming services declined for the first time after many years of growth, the first six months of 2025 have once again seen an increase in sales revenue. 4.6 billion euros in revenue was generated, which equates to an increase of 4% compared to the same period in the previous year.

This was announced by game – The German Games Industry Association at a press conference in advance of the opening of gamescom next week. The sources of this data are the market research firm YouGov and data.ai (a Sensor Tower company). Games hardware enjoyed the biggest increase during the first half of 2025. Propelled among other things by the launch of the Nintendo Switch 2, revenues in this area grew by 17%. The online gaming services market segment also increased, by 4%. Games, on the other hand, experienced a small decline of 2%, to 2.7 billion euros.

“The German games market’s growth in the first six months of 2025 sends a powerful signal for the start of gamescom. This year’s event has also set a new record for the number of exhibitors. Combined with the increase in exhibition space and the many top companies expected to attend this year’s event, gamescom is set to drive even more growth in the German and international games market. This year’s theme – ‘Games – perfect entertainment’ – is fully in keeping with this boost, as 44 million Germans view games as the entertainment of our age. And not just for themselves: the vast majority of video game players believe that games are particularly good for bringing people of all ages together. It is yet another way that gamescom will be the perfect place to be,” said Felix Falk, Managing Director of game – The German Games Industry Association, which is a co-organiser of gamescom.

The theme of gamescom 2025 – “Games – perfect entertainment” – reflects the reality in Germany, as was underscored by the findings of a representative survey conducted by the market research company YouGov: some two thirds of Germans consider video games to be the entertainment of our age. This equates to around 44 million people. It is a finding that is also supported by the experiences of the people playing video games. Nearly all of them say that they enjoy playing games (94%), find them entertaining (93%), and see them as a good way to relax (91%). In fact, 86% of video game players say that games put them in a good mood, and 8 in 10 players spend less time thinking about crises or worries thanks to games.

The average age of video game players in Germany is now nearly 40 – and it is continuing to rise. This is because the largest increases in the number of players are in the older age groups. Games have long since established themselves as a medium for all generations. The video game players think so, too: 85% of them say that games offer something for every age group, while 88% enjoy playing with other family members. 79% of players in Germany believe that games can help to bring younger and older people together, and three quarters of players think that playing games together as a family can help people to gain a better understanding of digital media.

The post German Games Market Grows in the First Half of 2025 appeared first on European Gaming Industry News.

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Anton Umnov

Avalanche and Helika Launch New Gaming Accelerator – Applications Now Open

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2 weeks ago

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August 13, 2025

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The Avalanche Foundation and Helika, a leading provider of technical and creative solutions for the video games industry, have officially launched their joint video game accelerator program and opened applications for the first cohort.

The newly announced strategic partnership is designed to engage both Web3-native studios and traditional game developers exploring blockchain integration. The accelerator aims to identify and support the next generation of studios building at the frontier of blockchain-based gaming.

The program is focused on product interaction and is designed to discover, support, and fast-track promising studios and projects building on the Avalanche blockchain. It will provide selected projects with unparalleled access to resources, mentorship from industry leaders, technical support, activations, and funding opportunities for qualifying or top-performing teams.

The accelerator is open to seasoned teams building high-quality, engaging experiences across platforms, from mobile to desktop and everything in between. Projects with prior traction or cross-platform aspirations are especially encouraged to apply.

The program will run for 3 months, with virtual onboarding and IRL showcases planned across major gaming and blockchain events.

What selected teams get:

Funding & Resources: $25,000 in initial support and up to $125,000 in additional funding for qualifying or top-performing teams.

Expert Guidance: Mentorship from game veterans, blockchain experts, and industry leaders through group sessions and 1:1 consultations.

Analytics Support: Comprehensive analytics solutions to track performance, improve retention, and optimize monetization strategies.

Blockchain Integration: Dedicated assistance for integrating with the Avalanche blockchain and optimizing technical performance.

Community & Growth: Activations with partner communities and platforms and support in player acquisition, community building, go-to-market strategies.

Helika Advisory Access: Access to specialized experts from Helika’s network for tailored support.

Ecosystem Access: Direct connection to a vibrant network of developers, investors, publishers, and Web3 enthusiasts.

Showcase Opportunities: A final Demo Day event to present games to investors, publishers, and ecosystem partners.

“We are excited to partner with the Avalanche Foundation to create a world-class accelerator for Web3 gaming. Avalanche’s robust and scalable infrastructure makes it an ideal environment for innovative game development. Studios need tools that work, data that matter, and real support from people who understand what it means to build in this space — this accelerator provides all of that, plus a direct line into a powerful Web3 ecosystem,” said Anton Umnov, Founder and CEO of Helika.

“Avalanche is focused on the long game. There’s no shortage of flashy ideas. What’s missing is the support that helps studios turn those ideas into real, playable, scalable games. Avalanche has long been the go-to chain for speed and innovation, and now we’re channeling that energy into the future of gaming, supporting teams who understand the nuance of player experience, community building, and long-term value creation,” said Parker Heath, Ava Labs Gaming Partnerships Lead.

Avalanche plays host to a vibrant lineup of video games, including Off The Grid and Maple Story Universe, all pushing the boundaries of what’s possible in blockchain-powered play. Thanks to its customizable Avalanche L1s, lightning-fast transaction speeds and low fees, developers can tailor unique environments for their games without compromising on user experience.

Helika has become a cornerstone for modern game studios, equipping developers with real-time insights into player behavior, on-chain economies, and engagement metrics. From Proof of Play and Parallel to Nexon, Ubisoft, and Com2Us, Helika’s platform is shaping how developers build, balance, and scale their games in real-time. This accelerator takes that impact further by embedding support into the earliest stages of development when it matters most.

The post Avalanche and Helika Launch New Gaming Accelerator – Applications Now Open appeared first on Gaming and Gambling Industry in the Americas.

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