Disney executives are reportedly interested in fully acquiring Epic Games, the developer of Fortnite. This news emerged from tech reporter Alex Heath during The Town podcast, indicating that Disney’s senior management seeks the right moment to proceed with a bid following the company’s earlier investment of $1.5 billion in Epic Games.
Fortnite serves as a significant asset for Epic, alongside the Unreal Engine toolkit. However, the game has faced challenges recently, with Epic Games announcing the layoff of 1,000 staff members due to a downturn in engagement projected to continue through 2025. Disney currently has extensive integration within Fortnite, featuring numerous character skins and crossovers from franchises like Star Wars, Marvel, and Pixar.
A Disney-specific mode for Fortnite is under development, envisioned as a virtual Disneyland park, but no release date has been confirmed despite two years of effort. Heath stated, “I know for a fact there are senior executives in Disney who want them to buy Epic and are just waiting for that moment.” He highlighted that if Epic were to sell, Disney would be a natural fit
Tim Sweeney, CEO of Epic, denied that development delays for the Disney mode stemmed from decision-making slowdowns at Disney, labeling an earlier report claiming so as “BS.” The Disney mode, first mentioned in March 2024, is not expected to launch before the fall of this year. Sweeney retains full voting stock control at Epic, allowing him to make unilateral decisions.
Josh D’Amaro, recently appointed as Disney’s CEO and a strong advocate for Fortnite, is anticipated to make significant moves this year regarding the game’s future. D’Amaro has previously noted the importance of the Disney mode’s launch for the company’s strategic direction.
Former Disney executive Kevin Mayer indicated that acquiring Epic or a similar video game asset could be beneficial for Disney. “I think Epic or some other video game asset would be a great addition to The Walt Disney Company’s asset base,” Mayer stated, highlighting potential growth opportunities.
Fortnite has struggled to successfully branch out beyond its core battle royale mode, leading to decreased traction on other gameplay avenues. Epic’s efforts to diversify into racing and LEGO modes have not met expectations. Sweeney acknowledged that Epic is entering a new phase, with plans for significant launches by year-end.
The layoffs were attributed to waning player interest in Fortnite that began in 2025. Analysts noted that the challenges facing Epic include ongoing legal disputes with Apple and Google, competition from Roblox, and the struggle to position Fortnite as more than just a battle royale. Remaining employees express uncertainty about the game’s future in light of recent workforce reductions.
Epic’s plans for a fresh start may hinge on the forthcoming Disney integration, though questions remain regarding the game’s viability following significant staffing cuts. Analysts and executives alike are watching closely to determine if this strategic push will revitalize the franchise.
