D&D General WotC Continues D&D's Advance To Digital First Brand

It's been apparent for some time that Dungeons & Dragons is moving towards a digital-first brand, centered around D&D Beyond, accompanied by a larger a shift into IP and lifestyle property.

D&D has had cartoons, toys, comics, and so on for decades, so this is not new, but the focus on these IP-based licenses appears to be gowing.

In Hasbro's latest earnings call, CEO Chris Cocks notes that the company -- by which he is referring to Hasbro, WotC, and their digital studio teams -- "delighted more than 1 billion kids, families and fans, secured partnerships that further underwrite future growth, advanced our evolution to a digital-first play and IP company and delivered record profits for our shareholders."

As we enter 2026, we view playing to Win and more importantly, the execution behind it by our Hasbro, Wizards of the Coast and digital studio teams as a clear success. Despite market volatility and a shift in consumer environment, we returned this company to growth in a meaningful way. We delighted more than 1 billion kids, families and fans, secured partnerships that further underwrite future growth, advanced our evolution to a digital-first play and IP company and delivered record profits for our shareholders.

As previously mentioned, this isn't really new information, but it is informative to see it clearly laid out by Hasbro's CEO. In the last couple of years, the company has had massive success with Baldur's Gate 3, and critical (if not commercial) success with the movie Honor Amongst Thieves. At least two D&D TV shows are currently in development--one from HBO as a sequel to Baldur's Gate 3, and another from Netflix, also set in the Forgotten Realms. In the earnings call, Cocks notes that they have "top-tier creative partners across more than 60 active entertainment projects."

Digital sales currently make up 60% of D&D's revenue. With digital-exclusive expansions being sold on D&D Beyond, a robust virtual tabletop integration, and the bringing in of the larger third-party D&D content creators as partnered content, D&D's move towards digital-first is well underway. While there is no indication that the physical books will go away, they are slowly becoming secondary or collector's items rather than the primary product.

 

[Scott Christian]

But what do you think changed? You can still play the game exactly as before.

I don't think anything changed. I think the CEO is pushing to expand in an area that he feels they can make money. That's it. There is no mystery. But, I also think it is ignorant to focus on digital first, when the real sustained profit will come from in-person gaming. And, like I said, I could be wrong. I am no CEO, but this, to me, is just an appeasement to the shareholders, who many times think short term.

 

[Cergorach]

...when the real sustained profit will come from in-person gaming...

Do you have a source for that besides your gut? We have data that in 2024 60% of the D&D sales were digital... Care to explain that in context of your statement?

 

[Scott Christian]

Do you have a source for that besides your gut? We have data that in 2024 60% of the D&D sales were digital... Care to explain that in context of your statement?

Nope. No source. I have stated three times now it is my thought or belief. And because 60% of sales come from something, say a McDonald's hamburgers, doesn't mean neglecting the fries is a good idea.

 

[Cergorach]

Nope. No source. I have stated three times now it is my thought or belief. And because 60% of sales come from something, say a McDonald's hamburgers, doesn't mean neglecting the fries is a good idea.

I think hamburgers vs. fries is the bad comparison. Think more of it of restaurant vs. drive-through, if the restaurants are mostly empty and most sales go through the drive-through. Would you build the next location with an as big restaurant? Or would you concentrate on the drive-through? Realizing that it involves hundreds of millions of dollars of the company and probably millions of dollars from your own bonuses and stock...

 

[bedir than]

Okay sorry, I missed that point amongst the rest. While you think it doesn’t negate the CEO is overlooking the in person aspect, neither do I think it proves it.

The CEO who regularly plays in person, including putting on costumes while he plays in person?

 

[Gambit42]

There's also the Greenwood clause, if WotC doesn't publish at least one physical Forgotten Realms book per year, the IP rights to Forgotten Realms reverts to Ed Greenwood (its the entire reason why the book Ed Greenwood Presents Elminsters Forgotten Realms exists). Just like Sony and Spider-Man rights, they will obviously never allow that to happen.

 

[LuisCarlos17f]

The physical books aren't only for collectors like me but these also work like "icebreaker ships" opening a new path and to hook a new generation of players. Let's remember competition in the digital market is very tough because if you have internet access, you might prefer to spend your time with a free-to-play video game.

 

[Scott Christian]

I think hamburgers vs. fries is the bad comparison. Think more of it of restaurant vs. drive-through, if the restaurants are mostly empty and most sales go through the drive-through. Would you build the next location with an as big restaurant? Or would you concentrate on the drive-through? Realizing that it involves hundreds of millions of dollars of the company and probably millions of dollars from your own bonuses and stock...

If the restaurant is what created the hubbub, started the movement, and also allowed that drive-thru to continue to grow, I would probably build the restaurant and see, say, only a 10% gain, instead of a 20%. Because I think in the future - that restaurant might be needed to keep the growth going.

 

[Cergorach]

There's also the Greenwood clause, if WotC doesn't publish at least one physical Forgotten Realms book per year, the IP rights to Forgotten Realms reverts to Ed Greenwood (its the entire reason why the book Ed Greenwood Presents Elminsters Forgotten Realms exists). Just like Sony and Spider-Man rights, they will obviously never allow that to happen.

Ed Greenwood does not have eternal life... I hope he gets to be a 100+ and continues to write for FR, but WotC/Hasbro is an immortal corporation. And let's not forget, we don't know the exact details. It might be as little as a 32 page adventure for all we know or a map book (like the 2e one) might also meet the requirements...

The physical books aren't only for collectors like me but these also work like "icebreaker ships" opening a new path and to hook a new generation of players. Let's remember competition in the digital market is very tough because if you have internet access, you might prefer to spend your time with a free-to-play video game.

I would say that certain physical books aren't just for collectors, like the PHB/DMG/MM and a starter set. But something like Adventures in Faerun... That has a very niche audience, FR fan, DM, willing to fork over a decent amount of cash...

And also realize that younger generations don't necessarily consume content like we did or do. Around 15 years ago I was working at a higher education institute that had a large amount of students doing IT related courses, only a handful of students had ever touched the commandline, everything they did was via icons. Those folks are now ~35 years old, quite a few are parents with teenagers that are even 'worse'. I'm 49 and as a kid I was already an outlier with the amount of books I read, now imagine this teenager generation of folks playing D&D or the next... And the last 25-30 years I've read most of my novels (hundreds) in a digital format (PDA/smartphone/tablet), maybe a couple a LONG time ago because those weren't available in digital format at the time.

And when WotC/Hasbro is selling 60% of their product digitally, that's some clear writing on the wall, that number is only going up and the number for the physical product is only going down...

For many (not me) Streaming and TikTok are funtioning as 'icebreakers' for TTRPGs. And also realize that for quite a few VTTs, only one purchase is needed for the DM and everyone can access the content in the VTT. If that VTT is on 24/7 players don't have to buy any product themselves...

 

[Belen]

And there have been some complaints about not 'owning' the content. First let me correct that, you NEVER owned the content! You owned the physical medium the content was in. With DDB, just as with the 4e equivalent, when they pull the plug, you don't have anything. You can export those product though to html or even certain VTTs with intermediary applications/services.

If they do not provide an easy to use medium for me to ‘own’ my copy of the game, then I will not continue with WOTC.

It is a valid complaint. Subscription content has no long term value. It is gone the moment the money stops.

My current D&D collection is worth a few times more than I paid for it. It has value. It may gain or lose value over time but a sub is vapor.

Corporations adore subs. They never have to compete against their own products. They do not really need to improve either.

You can draw a direct line from product subscriptions to enshittification.

I may not “own” the rules but that physical copy is mine and allows me to continue to use the product barring disaster.