Josh D’Amaro, The Walt Disney Company’s new CEO and a noted enthusiast of video games, has made gaming and interactive experiences central to his vision for the company’s future. He previously championed the major investment in Epic Games and sees digital realms as vital extensions of Disney’s storytelling. The Walt Disney Company is now being encouraged to pursue a full acquisition of Epic Games, the developer behind the blockbuster video game Fortnite, as a way to supercharge its entertainment portfolio and establish a stronger foothold in the interactive media space. The recommendation stems from a former top Disney leader who sees gaming as an untapped engine for future growth under the company’s new chief executive.
In an interview with CNBC, Kevin Mayer, the ex-Disney and TikTok executive who now co-leads Candle Media, outlined how Josh D’Amaro, Disney’s recently appointed CEO, will need to take “bold steps” to drive higher earnings and lift the company’s stock price. Mayer specifically highlighted video games as one area where decisive action could deliver meaningful results.
Mayer praised D’Amaro for championing the company’s $1.5 billion investment in Epic Games tied to a Fortnite collaboration, describing the decision as a smart strategic choice. Still, he argued that D’Amaro must determine how to transform Disney’s overall gaming operations into a reliable source of expansion. One effective path forward, Mayer proposed, would be for the CEO to commit substantial capital by purchasing an established gaming studio outright.
“I think Epic or some other video game asset would be a great addition to The Walt Disney Company’s asset base,” Mayer said (via Boardwalk Times).
Technology reporter Alex Heath recently discussed the possibility on The Town podcast, noting that he knows "for a fact" that senior executives at Disney want to buy Epic Games and are waiting for the right moment.
He added: "I think if Epic ever sold, if it ever decided to call it quits on being an independent company, Disney would be the most natural home for it for a lot of reasons."
The suggestion arrives at a pivotal moment for Disney’s entertainment strategy. The 2023 investment in Epic already forged a deep partnership, enabling crossovers that have brought Disney characters and worlds directly into Fortnite’s ecosystem. Players have experienced limited-time events featuring Star Wars icons, Marvel superheroes, and Pixar favorites, generating massive engagement and demonstrating the commercial power of blending Disney’s intellectual property with Epic’s platform. Building on that momentum, Disney and Epic recently unveiled tools through the Unreal Editor for Fortnite that let creators incorporate official Star Wars locations, weapons, sound effects, and music into custom experiences, with selected creations scheduled for official publication starting in May.
The ongoing Disney x Fortnite project represents one of the most ambitious collaborations in the gaming industry to date. Announced alongside the $1.5 billion equity stake, the initiative aims to build an expansive, open, and persistent games and entertainment universe connected to Fortnite. This new digital realm will allow players to engage with content, characters, and stories from across Disney’s vast portfolio, including Disney, Pixar, Marvel, Star Wars, and Avatar. Powered by Epic’s Unreal Engine, the experience is designed to be interoperable with the main Fortnite game while offering opportunities to play, watch, shop, and create in distinctly Disney-themed ways.
Industry updates indicate the project, sometimes internally referenced in development discussions as involving significant external studio support, is progressing toward a potential launch window in late 2026 or beyond. Disney Imagineers have teased potential real-world integrations that could link the virtual experiences with physical theme park visits, extending the magic from screens into parks and vice versa. Recent crossovers, such as new Hercules, Megara, and Hades skins added to the Fortnite item shop, continue to keep Disney content prominent even as the larger universe takes shape. Epic Games president Adam Sussman has reaffirmed that the vision for the partnership remains unchanged despite internal company adjustments, emphasizing excitement about the progress made so far.
Disney’s renewed focus on gaming marks a departure from its past approach. For years the company operated its own internal development division, Disney Interactive Studios, which produced a range of titles including the popular Disney Infinity series. That unit was shuttered in 2016 as part of a broader shift away from in-house game production. Since then, Disney has relied primarily on licensing agreements, allowing external studios to create Star Wars, Marvel, and other franchise-based games. Upcoming releases such as new Blade and Wolverine titles continue this model, but many industry observers believe the strategy has left money on the table by not capturing more of the revenue generated from its vast library of characters and stories.
Under D’Amaro’s leadership, gaming is viewed as more than a side business. The CEO has publicly expressed enthusiasm for taking calculated risks in digital entertainment, seeing interactive experiences as complementary to Disney’s theme parks, streaming services, and theatrical releases. A larger gaming presence could create seamless connections across divisions—for instance, letting park visitors extend their adventures into virtual worlds or offering streaming subscribers exclusive in-game content. Acquiring a company like Epic would give Disney ownership of Fortnite’s enormous global audience, the Unreal Engine technology that powers numerous high-profile titles, and a proven track record of building persistent online communities.
Such a move would not be without precedent or potential hurdles. Disney has previously explored buying other major game publishers, including Electronic Arts, though those talks ultimately stalled. Epic itself remains founder-controlled, with CEO Tim Sweeney retaining complete voting power, which means any transaction would require his explicit approval. Still, the existing $1.5 billion stake and ongoing collaboration could serve as a foundation for deeper integration, positioning Epic as a natural extension of Disney’s family-friendly empire rather than an unrelated acquisition.
The broader media landscape adds urgency to the conversation. Streaming competition continues to intensify, while traditional box-office returns fluctuate. Gaming, by contrast, offers recurring revenue through microtransactions, season passes, and live-service updates—models that have proven highly profitable for titles like Fortnite. Industry analysts estimate the global video game market will continue expanding at a healthy clip, outpacing growth in many other entertainment segments. For Disney, capturing a larger slice of that market could diversify income streams and appeal to younger audiences who increasingly discover brands through interactive platforms rather than films or television alone.
Executives across the company have reportedly discussed the merits of owning rather than merely licensing gaming assets. With D’Amaro at the helm, the timing may be right for a transformative deal that aligns with his vision of a more agile and future-focused Disney. Whether through Epic or another prominent studio, the consensus among some insiders is that bold investment in gaming infrastructure could pay dividends for years to come.
In a related development, Epic Games recently laid off over 1,000 employees, citing a slowdown in Fortnite player engagement that began last year. The cuts represent roughly 20 percent of the company’s workforce, though Epic indicated the remaining 4,000 staff, combined with additional cost reductions, would help stabilize operations moving forward. The Fortnite partnership with Disney remains on track despite the internal changes.
