Wizards of The Coast is in advanced talks to collaborate with Wizards on publishing games for the arcades, a person familiar with the situation said.
The person spoke on condition of anonymity because the discussions have not been publicly disclosed.
The company has been trying to build its own games publishing business for years, said the person, who has worked with the company for about two years.
Wizards of North America has been part of a $2 billion deal with Warner Bros. Entertainment, which includes the rights to publishing the games.
The partnership would represent the first time the two companies will collaborate on publishing a game, the person said.
The talks have been going on for a couple of months and have been focused on licensing games, the individual said.
Wizards of the Coasts first game, “The Wizards of Time,” sold 1.8 million copies in the first year.
It was the last game Wizards published.
The games were released as the Wizards’ first “classic” series, a nod to the old Wizard of Oz, which is often depicted with the titular character, with the book being the story.
In the books, the main character has a secret identity and works for a fictional organization.
Wizards has not published a Wizard of the Time game since “The Wizard of Time” debuted in 2003.
The new “The War of the Wizards” series will focus on characters from the “War of the Ring,” a story by Peter Jackson and published in 2005, according a description on the Warner Bros.-owned website.
The deal would also make the two games a partner on the “Wizards vs. Capcom” fighting game franchise, according the Wizards.
It will not include the “World of Warcraft” game, which has been owned by Blizzard Entertainment.
WizKids, which runs “Bubble Boy” games, announced plans earlier this year to launch its own “Wizard of the Week” game series.
The company has said it will begin publishing its games this year.