Embracer creates Fellowship Entertainment to manage Tomb Raider, Lord of the Rings, Metro, Darksiders, and more

Embracer Group is preparing another major corporate reshuffle, this time by creating a new publishing label called Fellowship Entertainment. The company says the goal is to get more value from its biggest owned assets, including The Lord of the Rings, Tomb Raider, Metro, Darksiders, Dead Island, Remnant, Kingdom Come Deliverance, and The Hobbit.

The plan is for Fellowship Entertainment to be spun off in calendar year 2027. Embracer describes it as an IP led entertainment company, meaning it will focus on major brands that already have strong recognition across games, film, books, comics, and wider media. That makes sense for properties like The Lord of the Rings and Tomb Raider, which are much bigger than single game releases.

Fellowship Entertainment will handle Embracer’s biggest names while the main company focuses elsewhere

The new label will include several well known studios and companies currently under Embracer. The list includes Crystal Dynamics, Eidos Montréal, 4A Games, Dambuster Studios, Gunfire Games, Flying Wild Hog Studios, Fishlabs, Warhorse Studios, Middle earth Enterprises, Dark Horse Media, and Redoctane Games.

That lineup gives Fellowship Entertainment control over a large mix of action games, RPGs, shooters, fantasy worlds, and transmedia properties. Crystal Dynamics is strongly tied to Tomb Raider. 4A Games is known for Metro. Warhorse Studios is behind Kingdom Come Deliverance. Dambuster Studios is connected to Dead Island, while Gunfire Games is known for Remnant and Darksiders.

The move also follows a similar shift from Ubisoft, which recently created Vantage Studios to manage some of its biggest franchises. The pattern is clear. Large publishers are trying to separate their most valuable brands into focused units, possibly to make operations cleaner, attract investment, improve accountability, or make major IP easier to manage.

For Embracer, the decision also comes after several difficult years. The company became known for buying studios and IP quickly, but later went through layoffs, sales, cancellations, and restructuring. Creating Fellowship Entertainment may help Embracer present its strongest assets in a cleaner way after that messy period.

There is still a big question, though: will this actually lead to better games? A new label can organize teams and brands differently, but it does not automatically fix production problems, budgets, leadership, or release quality. Fans will care less about corporate structure and more about whether Tomb Raider, Metro, Darksiders, and The Lord of the Rings get strong new projects.

The Lord of the Rings is especially important because it remains one of the most valuable fantasy properties in entertainment. Embracer has not yet fully shown what it can do with that license in games. Tomb Raider also has major potential, especially with Crystal Dynamics still attached to the franchise.

For now, Fellowship Entertainment looks like Embracer’s attempt to separate its biggest franchises from the rest of the business and give them a more focused home. If handled well, it could help these brands receive clearer planning and stronger long term support. If handled poorly, it may simply become another layer of corporate restructuring. The real test will come when Fellowship starts delivering new games, not just new branding.