Hasbro Expands Game Development Investment
Toy and gaming giant Hasbro’s subsidiary Wizards of the Coast officially announced on September 30th the establishment of a new game development studio in downtown Montreal, Canada. Named “Wizards of the Coast Studios Inc.”, this new location will focus on developing Dungeons & Dragons (D&D) digital games and support Wizards of the Coast’s expanding digital gaming portfolio.
The new studio is expected to officially open in summer 2026, creating approximately 200 game development positions over the next three years, becoming an important member of Montreal’s gaming industry ecosystem.
Studio Leadership Team
Industry Veteran Dan Ayoub
Wizards of the Coast appointed industry veteran Dan Ayoub as head of the Montreal studio. Ayoub has over 20 years of game development experience, having held key positions at several renowned gaming companies:
- Microsoft Studios - Responsible for Halo franchise project management
- 343 Industries - Participated in Halo: The Master Chief Collection development
- Invoke Studios - Served as Studio Director
Ayoub’s extensive experience in AAA game development and team management will bring professional leadership to the new studio.
Recruitment Strategy
The studio is actively recruiting talent across various fields:
- Game Designers - Responsible for D&D game mechanics and content design
- Developers - Unreal Engine and Unity experience preferred
- Artists - 3D modeling, character design, environment art
- Narrative Designers - Story writing and world-building
- Audio Engineers - Game audio and music production
Wizards of the Coast emphasizes prioritizing local Montreal talent and offering competitive salaries and benefits.
Dungeons & Dragons Digital Gaming Strategy
D&D Product Line
The Montreal studio will focus on D&D digital game development, complementing Wizards of the Coast’s existing product line:
Existing Successful Works:
- Baldur’s Gate 3 - Developed by Larian Studios, hugely successful in 2023
- Dungeons & Dragons: Dark Alliance series
- Neverwinter - Continuously operating online RPG
Future Development Direction:
- New original D&D IP games
- Existing series sequels
- Multiplayer online gaming platforms
- Mobile game market expansion
According to Hasbro’s financial reports, Baldur’s Gate 3’s success proves D&D IP has enormous potential in the digital gaming market, with continued investment expected over the next five years.
Cancelled Projects and Strategic Adjustments
Notably, in the same week the Montreal studio was announced, Swedish game developer Starbreeze announced the cancellation of a collaborative D&D multiplayer game.
The project originally scheduled for 2026 release was cancelled due to:
- Development progress behind expected timeline
- Market positioning overlapping with other D&D games
- Resource reallocation to more promising projects
Analysts believe Wizards of the Coast is consolidating D&D game development resources, gaining more control through owned studios and reducing dependence on external developers.
Montreal Gaming Industry Advantages
North American Gaming Development Hub
Montreal is one of the world’s top gaming development cities, with a complete industry ecosystem:
Industry Scale:
- Over 250 game studios
- Over 15,000 professional game development talent
- Annual production value exceeding 2 billion Canadian dollars
Notable Studios:
- Ubisoft Montreal - Main development location for Assassin’s Creed series
- Warner Bros. Games Montreal - Batman: Arkham Origins developer
- Eidos Montreal - Deus Ex and Tomb Raider series
- Behaviour Interactive - Dead by Daylight developer
Government Support Policies
Quebec province and Montreal city government provide preferential policies to attract gaming companies:
- Tax Relief - Game development can enjoy up to 37.5% tax credits
- Talent Development - Cooperation with universities to cultivate game development professionals
- Startup Grants - Providing funding and resource support for startup studios
Montréal International president stated that Wizards of the Coast’s investment once again proves Montreal is one of the world’s top choices for game development cities.
Talent and Cost Advantages
Compared to major US cities, Montreal offers better cost-effectiveness:
- Salary Costs - 30-40% lower than Seattle and San Francisco
- Living Costs - 20-30% lower than major US cities
- Talent Quality - Multiple universities offering game development programs
- Multilingual Environment - Rich English-French bilingual talent
These advantages allow large gaming companies to build high-quality development teams at more reasonable costs.
Wizards of the Coast’s Montreal Layout
Invoke Studios Collaboration History
Since acquiring Invoke Studios in 2019, Wizards of the Coast has established an operational foundation in Montreal.
Invoke Studios focuses on Magic: The Gathering digital version development, including:
- Magic: The Gathering Arena - Digital card battle platform
- Magic: The Gathering Online - Online battle service
The newly established studio will share office space with Invoke Studios in downtown Montreal, promoting team collaboration and resource sharing.
Dual Brand Development Strategy
Wizards of the Coast owns two core IPs:
Magic: The Gathering (MTG):
- World’s most successful collectible card game
- Digital version continuously growing
- Esports events and active community
Dungeons & Dragons (D&D):
- Classic tabletop role-playing game
- Recent revival through popular culture like Stranger Things
- Enormous digital game market potential
The Montreal studio focuses on D&D, paired with Invoke Studios’ MTG development, forming a complete product line layout.
Industry Impact and Market Outlook
Board Game IP Digitization Trend
Dungeons & Dragons’ success represents significant opportunities for board game IP digitization:
Recent successful cases of board game-adapted digital games:
- Baldur’s Gate 3 - 2023 Game of the Year, sales exceeding 15 million copies
- Warhammer 40K series - Multiple adapted games continuously released
- Catan digital version - Popular mobile platform game
These successes prove classic board games have loyal fan bases, and digitization can reach broader player groups.
Competitive Landscape Analysis
D&D digital game market competition is increasingly fierce:
Main Competitors:
- Larian Studios - While not confirmed developing Baldur’s Gate 4, has rich D&D development experience
- Independent Developers - Multiple D&D licensed games in development
- Other Fantasy RPGs - The Elder Scrolls, The Witcher series
Through owned studios, Wizards of the Coast can more directly control quality and release rhythm, but also bears higher development risks.
Market Size Forecast
According to market research institutions:
- D&D-related products revenue reached $1.5 billion in 2024
- Digital games account for approximately 40% ($600 million)
- Expected digital game revenue growth to $2 billion by 2030
Baldur’s Gate 3’s success significantly raised D&D brand awareness, laying a solid market foundation for subsequent works.
Studio Development Timeline
Short-term Goals (2025-2026)
- 2025 Q4 - Complete major personnel recruitment
- 2026 Q2 - Official office activation
- 2026 Q3 - First project enters full development phase
Medium-term Goals (2027-2028)
- 2027 - First self-developed D&D game announcement
- 2028 - Second project launch
- Team size expansion to 200 people
Long-term Vision
Wizards of the Coast hopes the Montreal studio will become the core development base for D&D digital games, releasing 1-2 high-quality D&D games annually, covering console, PC, and mobile platforms.
Impact on Montreal Gaming Industry
Talent Market Competition
The new studio’s establishment will intensify Montreal gaming industry talent competition:
- 200 new positions will attract local and international talent
- Salary levels may rise
- Small and medium studios face talent drain pressure
However, overall industry expansion will also attract more talent into game development, benefiting long-term ecosystem development.
Industry Chain Improvement
Wizards of the Coast’s investment drives peripheral industry development:
- Increased demand for outsourced art and audio services
- QA testing company business growth
- Game engine and tool supplier expansion
Montreal has formed a complete game development industry chain, and the new studio’s addition will further strengthen industry cluster effects.
Conclusion
The establishment of Wizards of the Coast’s Montreal studio marks the company’s long-term commitment to the Dungeons & Dragons digital game market. By establishing an owned team in North America’s top game development city, Wizards of the Coast will more effectively control D&D IP’s digitization process.
The creation of 200 positions over the next three years not only injects new momentum into Montreal’s gaming industry but also brings expectations for more high-quality games to D&D fans. However, whether the studio can replicate Baldur’s Gate 3’s success and develop works that truly move players still requires time to verify.
For Dungeons & Dragons enthusiasts, more officially developed D&D games are coming; for Montreal game developers, new career opportunities are opening. This city, called the “Game Capital of North America,” once again proves its important position in the global gaming industry.
