MGI’s 2022 Financial Report Reveals Company’s Shift Away From MMOs

Media and Games Invest, the parent company of Gamigo and KingsIsle, has posted its 2022 financial report that shows a shift away from premium MMO games and toward digital advertising. The report revealed that MGI is pivoting its strategy to focus on mobile and casual games, which offer better opportunities for in-game advertising and more significant growth potential than desktop-based premium games.

According to the report, MGI's digital advertising business, which began four years ago, is now its core business and primary growth driver. As part of this new strategy, MGI has closed smaller, less efficient PC games to focus on more profitable titles, such as Wizard101, Trove, WildTangent Games Portfolio, Fiesta, and Extreme Car Driving Simulator. These games are the top five revenue-generating titles and are critical to the success of MGI's game subsidiaries.

Despite the shift in strategy, the report did not mention any upcoming MMO titles, and it's unclear if MGI has given up on the genre entirely. However, the company's recent closure of several subsidiaries suggests that MGI may be moving away from MMOs. In February, MGI sold its minority stake in Enad Global 7, which is now controlled by Daybreak.

While the news may be disappointing for MMO fans, MGI is confident that its digital advertising strategy will lead to more growth and profitability. As the report states, "Our digital advertising business has now become our core business as well as our primary growth driver." With the focus now on mobile and casual games, it remains to be seen whether MGI will continue to invest in the MMO genre or move on to other opportunities in the gaming industry.