The Swedish Embracer Group wants to buy the trademark rights to “Lord of the Rings”. This makes video games and film adaptations based on the Tolkien books possible.
The games company Embracer Group secures the rights to “The Lord of the Rings”: The Swedish game publisher wants to buy the license manager Middle-earth Enterprises from the Saul Zaentz Company. Both companies are silent about the agreed price of the transaction.
Specifically, the Embracer Group is buying the license to process the Tolkien books “The Hobbit” and the “Lord of the Rings” trilogy into video games, films, plays and merchandise items. The “Silmarillion” is also part of the license package. However, the rights to the publishing of the actual books remain with HarperCollins.
Licensing confusion
The “Lord of the Rings” license from Middle-earth Enterprises is used by the Hamburg studio Daedalic Entertainment, among others, to develop the stealth game “The Lord of the Rings: Gollum”. It includes the right to develop games based on the books. However, the designs of the already released films may not be used. There was a dispute between Warner Bros. and the Zaentz Company about the film license for “Lord of the Rings”.
Middle-earth Enterprises has held the Lord of the Rings license since the 1970s. Saul Zaentz’ license has been licensed for previous products and media in the Tolkien universe, but has never been sold in its entirety. According to the industry magazine Variety, the purchase price of the “Lord of the Rings” brand should be at least 2 billion US dollars.
Embracer continues to stock up
In addition to the “Lord of the Rings” brand, Embracer has announced several other acquisitions: Among other things, the studios Tripwire Interactive (“Killing Floor”) and Tuxedo Labs are to switch to the Swedish publisher. In May, Embracer Grouo caused a stir with the purchase of several Square Enix brands: Crystal Dynamics, Eidos-Montréal and Square Enix Montréal are soon to join the Swedish publisher. With them come brands like Deus Ex and Tomb Raider.
Embracer already includes Koch Media and Coffee Stain Studios, the developers of Goat Simulator and Satisfactory. Volition (“Saints Row”), Warhorse Studios (“Kingdom Come: Deliverance”), 4A Games (“Metro”) and the German studio Piranha Bytes (“Gothic”) are also part of Embracer. Embracer put 1.3 billion US dollars on the table for the “Borderlands” developer Gearbox, and the French board game manufacturer Asmodee bought it for at least 2.75 billion euros.
Embracer is probably best known to most game fans by its former name: Until 2019, the company was known as THQ Nordic. Today, THQ Nordic is a subsidiary within the Embracer Group.
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