News Warner Bros. Explores Licensing DC Rides to Universal Parks

[mkt]

Warner Bros. Explores Licensing DC Rides to Universal Parks

Batman could be getting a new assignment with rollercoaster fans.

www.bloomberg.com

Batman could be getting a new assignment with rollercoaster fans.

Warner Bros. Discovery Inc. is in talks with theme park operators including Comcast Corp.’s Universal resorts business to license its DC comic-book heroes for new rides, according to people familiar with the matter.

Warner Bros. currently licenses its DC properties, which include iconic characters such as Batman, Superman and Wonder Woman, to Six Flags Entertainment Corp., but it’s exploring the possibility of partnering with additional operators, said the people, who asked not to be named as the information is private. The talks are at an early stage and don’t yet involve contractual negotiations, the people said.


Representatives for Comcast and Warner Bros. declined to comment. A spokesperson for Six Flags didn’t respond to a request for comment.

Out-of-home entertainment has been a huge focus for media companies in recent years, both as a way to generate licensing revenue and to promote their programming. Netflix Inc. is opening experiences based on its shows in malls, and Universal is expanding its resorts business with small parks and attractions in states such as Nevada and Texas.


Adding DC’s intellectual property would be a major win for any hospitality company, including Universal’s parks business, which already licenses Harry Potter’s wizarding imagery and characters from Warner Bros. for its resorts in the US and China. In May, Universal opened the $7 billion Epic Universe theme park at its resort in Orlando with Harry Potter’s Ministry of Magic becoming one of the park’s biggest draws.


Six Flags, which is facing pressure from activist investors including Jana Partners, has several rides affiliated with DC at many of its locations, including the Batman rollercoaster. In the 1990s, the theme park operator and Warner Bros. were both owned by Time Warner, and Six Flags opened a DC Universe area at its parks in 2011.


Although Six Flags rollercoasters refer to DC trademarks, they don’t offer the types of immersive worlds that Universal and Walt Disney Co. have built at their parks.

Comcast is competing with Netflix to acquire Warner Bros. Discovery’s studio and streaming business, while rival Paramount Skydance Corp. is seeking to buy the whole company.

In recent meetings with Warner Bros. management, Comcast has signaled its desire to add DC’s intellectual property to its parks business, which generated $8.62 billion in sales last year, the people said.

 

[Stitchon]

VERY intriguing. I'm assuming this may finally spell the end for Marvel Super Hero Island, plus it'd give them an opportunity to expand comics characters beyond Islands of Adventure.

It'd be great to see the DC characters finally receive the theme park treatment they deserve, but the loss of Amazing Adventures of Spider-Man will be tough.

 

[HuntrixOwlMouse98]

I know it doesn’t relate to DC, but since Netflix will be acquiring Warner Bros (and sadly NOT Comcast), could there be a chance that Universal and Netflix/WB also agree to have the theme park rights to KPop Demon Hunters at Universal Orlando since the Netflix House concept has yet to be announced to come to Florida

 

[WDWFREAK53]

While I know they really can't do anything to Marvel Superhero Island without Disney being ok with it but wouldn't it be better to keep MSI to prevent Disney from building Marvel and then build DC out at USHollywood to compete against Disney's Marvel, the UK park, or another site at Orlando?

On another note, is Men In Black under the same umbrella as the characters from Marvel? If they replaced Simpsons and Men In Black at the same time, that would open up a huge space for DC properties.

 

[Sorcerer Mickey]

There has to be some sort of contractual obligation where Universal can't have DC and Marvel rides operating across from each other...right? I just feel like there is a clause buried in a contract somewhere that bars this from happening.

 

[lazyboy97o]

There has to be some sort of contractual obligation where Universal can't have DC and Marvel rides operating across from each other...right? I just feel like there is a clause buried in a contract somewhere that bars this from happening.

Six Flags might have something like that.

Marvel Agreement between MCA Inc. and Marvel Entertainment Group

 

[earlthesquirrellover23]

There has to be some sort of contractual obligation where Universal can't have DC and Marvel rides operating across from each other...right? I just feel like there is a clause buried in a contract somewhere that bars this from happening.

There is not.

 

[Stripes]

There is not.

Well…I believe this bit would be an issue.

Any Corporate Sponsorship shall require Marvel’s approval, as will any joint promotion in which [Universal] receives cash or other consideration (including items of value) other than free media inclusion. As to [Universal] joint promotions in which [Universal] does not receive cash or other consideration, Marvel shall have the right to notify [Universal] from time to time of significant promotional arrangements it has made or are in serious negotiations with third parties which might conflict with unannounced [Universal] joint promotions. Thereafter any [Universal] proposed joint promotion (in which [Universal] receives no consideration) involving a competing product or entity in the territory covered by a Marvel promotion contained in such notice(s) shall require Marvel’s approval.

 

[mkt]

Well…I believe this bit would be an issue.

Any Corporate Sponsorship shall require Marvel’s approval, as will any joint promotion in which [Universal] receives cash or other consideration (including items of value) other than free media inclusion. As to [Universal] joint promotions in which [Universal] does not receive cash or other consideration, Marvel shall have the right to notify [Universal] from time to time of significant promotional arrangements it has made or are in serious negotiations with third parties which might conflict with unannounced [Universal] joint promotions. Thereafter any [Universal] proposed joint promotion (in which [Universal] receives no consideration) involving a competing product or entity in the territory covered by a Marvel promotion contained in such notice(s) shall require Marvel’s approval.

That would only be for the US east of the Mississippi. Not for Hollywood, Frisco, UK park, Osaka, Beijing, or Singapore.

 

[Stripes]

That would only be for the US east of the Mississippi. Not for Hollywood, Frisco, UK park, Osaka, Beijing, or Singapore.

Right, but the previous question was regarding a DC and Marvel experience coexisting at Universal Orlando.

 

[mkt]

Right, but the previous question was regarding a DC and Marvel experience coexisting at Universal Orlando.

That wouldn't be likely to happen.

It'd be either or, but not both.

 

[Disneyhead'71]

I would imagine these negotiations are for the international parks considering Six Flags has the DC rights domestically.

 

[ToTBellHop]

I would imagine these negotiations are for the international parks considering Six Flags has the DC rights domestically.

Yes. I presume they're happy to keep Marvel in Orlando (and largely not at WDW) while exploring options for all their other parks since they can't really expand Marvel elsewhere. It's a pity for us because I bet a Universal Batman ride would be more compelling than Six Flags "the track is yellow but the supports are...wait for it...BLACK! So...Batman!" theming.

 

[earlthesquirrellover23]

Well…I believe this bit would be an issue.

Any Corporate Sponsorship shall require Marvel’s approval, as will any joint promotion in which [Universal] receives cash or other consideration (including items of value) other than free media inclusion. As to [Universal] joint promotions in which [Universal] does not receive cash or other consideration, Marvel shall have the right to notify [Universal] from time to time of significant promotional arrangements it has made or are in serious negotiations with third parties which might conflict with unannounced [Universal] joint promotions. Thereafter any [Universal] proposed joint promotion (in which [Universal] receives no consideration) involving a competing product or entity in the territory covered by a Marvel promotion contained in such notice(s) shall require Marvel’s approval.

This is for promotions or sponsorships, I dont think this language would prevent Universal from building a DC land in Orlando. The only problem I could see this causing is Universal may have trouble creating promotions/ads that include both Marvel and DC properties.

 

[lazyboy97o]

This is for promotions or sponsorships, I dont think this language would prevent Universal from building a DC land in Orlando. The only problem I could see this causing is Universal may have trouble creating promotions/ads that include both Marvel and DC properties.

There’s also just a level of reasonable business that goes into such decisions. Universal Destinations and Experiences has licensing deals with Disney, Warner Bros, Paramount and Sony who are all competitors and business partners to both Disney and Universal. Movies and television in particular can have all sorts of tangled deals with regards to production and distribution. It makes little sense to let one division weaponize a licensing deal against competitors. It’s only going to make other licensees concerned that you’d try to do the same and harm their business. Any approvals from Marvel are going to come from Marvel Entertainment, which still exists as a subsidiary within The Walt Disney Company, and not from Walt Disney World, who are most likely not even going to be asked for their thoughts.

 

[mkt]

I would imagine these negotiations are for the international parks considering Six Flags has the DC rights domestically.

They have them.
They also have a terrible financial situation.

 

[JoeCamel]

They have them.
They also have a terrible financial situation.

Worse than Seaworld?

 

[mkt]

Worse than Seaworld?

Trash is trash is trash.

 

[wdwfan4ver]

Worse than Seaworld?

Lets put it this way. Six Flags closed a couple of their locations after this season and will need to sell or close even more locations. Six Flags has something like a 5 billion debt. Universal has the money to offer Six Flags cash for DC comic rights and lower Six Flags debt by a lot.

 

[cheezbat]

From what I have read and heard, universal could use the dc comics characters in Orlando since there is supposedly something where six flags couldn’t really do anything about it if they don’t have a property in Florida…and while they already have marvel, I believe they could not use it in Islands of adventure, but they could use it in either of the other two theme parks.

Just some things I’ve heard and read in the past….and going through the marvel/universal mca contract…but of course I’m no lawyer and things could always change.