Lego Expands into In-House Video Game Development
- Lego is building an in-house video game development team
- The company has tripled its number of software developers to over 1,800
- Lego has invested hundreds of millions of dollars in its in-house game development division
- The company's revenue increased by 13% in 2024
- Lego's operating profit jumped up by 10% to $2.7 billion
Lego's Gaming Ambitions
Lego has a long history in the video games sector, with licensed titles featuring digital brick versions of iconic movie characters and physical sets like the new Mario Kart one. However, after decades of third-party studios making games with the Lego name on them, the company is taking a more hands-on approach.
According to Lego CEO Niels Christiansen, the company is building up its in-house game development division, with hundreds of millions of dollars invested in tripling its number of software developers to more than 1,800. Christiansen stated that the company can cover experiences for kids of all ages, digital or physical, under the Lego brand.
It's unclear if Lego plans to stop working with external developers, but the company's decision to invest in in-house game development is a significant move. Lego's game development team will have to nail the right mix of fun gameplay and the brand's trademark humor, but the company can afford to take a swing at this point.
Lego reported a 13% increase in revenue in 2024, with operating profit jumping up by 10% to $2.7 billion. The company has also bought back its Legoland theme parks as it diversifies beyond its physical brick business.