Michael Eisner Says Hollywood Failed to Enter Early Video Games

Overview

• At a Paley Center for Media discussion on Wednesday, July 22, 2026, Eisner said “we all failed” to build in-house video game businesses and that the industry instead relied on licensing to game developers.
• Eisner explained early games were heavily technological in ways Hollywood did not know how to manage, and licensing characters to specialist studios became the practical solution.
• He said the modern gaming market has shifted to being story-driven and IP-driven, a change that gives companies that own big franchises, like Disney, a clear advantage for cross-platform expansion.
• Eisner praised Disney’s purchase of Lucasfilm and Star Wars as a successful use of IP but warned the company may have overextended the franchise with too many sequels and extensions.
• The larger takeaway is that Disney and other media firms must balance exploiting known franchises to grow games, parks, and merchandise with the harder work of creating new original properties to avoid audience fatigue.