Gaming’s $4.4 billion video-content business is why Warner Bros. wants Machinima

Traditional media companies see a huge amount of potential in gaming-related content, and that has translated into another acquisition.

Warner Bros., a hollywood and gaming behemoth, took full control over the Machinima digital-video company yesterday, as first reported by Variety. While a lot of internet media startups are struggling to find a business model that can sustain growth, larger companies are seeing this market as a way to access a younger, more connected audience. This acquisition should give WB a way to develop and distribute content specifically for a key demographic of people ages 13 to 34 who have already turned the gaming-related online-video business into a $4.4 billion market annually on YouTube, Twitch, and elsewhere, according to intelligence firm SuperData Research.