The CEO of Embracer, the company behind the Tomb Raider franchise, emphasized the indispensable role of human creativity in game development, even as artificial intelligence (AI) becomes a significant tool in the industry. During an interview with Reuters on Thursday, Lars Wingefors discussed Embracer's strategic adaptations to the evolving global gaming landscape, including plans to split the business into three listed companies by 2025.
"AI is important and it's here affecting the whole world in a way, but I don't see the overnight drama," said Wingefors, who is also a co-founder and the largest shareholder of the Swedish group. He acknowledged AI's utility in developing physical games but reiterated his belief in the irreplaceable value of human-created products.
Embracer is leveraging its strong intellectual property (IP) portfolio to attract top talent, particularly within its Middle-earth division. "People love to work with exciting IPs and world-class talents," Wingefors noted, underscoring the appeal of working on high-profile projects.
As part of its strategic shift, Embracer plans to execute a three-way split, with the listings of Asmodee and Coffee Stain & Friends. Asmodee recently secured a €900 million ($976 million) loan to refinance its debt. The existing listed group will retain the Tomb Raider franchise and rebrand as Middle-earth Enterprises & Friends, aligning with its upcoming online multiplayer game based on The Lord of The Rings series.
Wingefors observed a trend of players gravitating back to established IPs, prompting Embracer to focus on generating more content for these beloved titles. By 2025, Middle-earth Enterprises & Friends aims to develop blockbuster games that, while costlier, promise substantial returns.
"Looking at the next five years, I see good growth in the gaming market. We are active in all fields and we see growth across all segments," Wingefors added. Embracer's strategy reflects confidence in the sustained expansion of the gaming industry, driven by both innovative AI applications and enduring human creativity.
