[4] Steven Spielberg was primarily responsible for negotiations with Microsoft to establish DreamWorks Interactive, which secured funding for the studio.

[8] On June 1, 1995, DreamWorks SKG and Silicon Graphics formed a $50 million agreement to create a new computer animation system using hardware and software.

[9] Initially focused on the movie industry, the alliance between the companies was also connected with the creation of DreamWorks Interactive, which, adding to Microsoft's financing and technologies, would also be used in video games.

[13] In 1999, the studio saw its most successful release with first-person shooter video game Medal of Honor, published by Electronic Arts on October 31, 1999 for PlayStation.

Medal of Honor laid the groundwork for historic war-based combat games, ultimately leading to Activision's Call of Duty series.

Trespasser had numerous technical flaws in attempting to create a realistic physics engine, and introduced mechanics that were considered awkward at the time of its release, such as the player having separate control of the player-character's limbs.

[citation needed] In January 2013, Electronic Arts announced that the Medal of Honor series was taken 'out of rotation' and put on hold, following to the poor reception received by Warfighter.