This deal could take the Xbox Game Studios brand to the next level.

Microsoft might acquire Warner Bros’ Interactive Entertainment branch, The Information reports. The source states that the company is interested in taking over Warner Bros’ multi-studio game division after as AT&T has reportedly been thinking about a sale since last month.

Warner Bros. Interactive Entertainment now owns a number of game development studios including Rocksteady (Batman: Arkham), Netherrealm (Mortal Kombat), WB Games Montreal, Monolith Productions (Middle-earth: Shadow of War), and more.

Microsoft might have to compete with Take-Two Interactive, Electronic Arts, and Activision Blizzard who also expressed interest in acquiring Warner Bros Interactive Entertainment for about $4 billion. The deal would let Microsoft level up its Xbox Game Studios initiative with more AAA studios to support next-gen gaming.

You can find The Information's original article here. What do you think about the news?