A fledgling television program has been suffering from poor audience approval, and the station that carries the show has informed its producers that they will have to rectify the situation or face inevitable cancellation.
An unorthodox plan is implemented: broadcast a contest pitting various superstars from differing realities in physical combat in order to increase ratings.
The game sees up to four players controlling fighters from various franchises. The game revolves damaging opponents and taking their life in the form of heart shaped coins. A meter at the bottom indicates how much life characters have remaining. If a player loses all of their hearts, they will enter the Super Pinch state in which they shrink in size and their soul will fly around the stage. If another character retrieves their soul before the player can, the player is knocked out though can still walk around the stage in shrunken form to interfere with the remaining fighters. The last fighter standing at the end of the round wins. The two main modes of play are World Fighters, a single player campaign, and Character Soul Survival, a multiplayer battle. There are also minigames available.
One of the hidden backgrounds is based on Treena's Tree House from the Treena & Her Forest Friends ("Koeda-chan" in Japan) toyline, and can be obtained by completing story mode with Megatron.
Devastator (the combined form of the six Constructicons) stands motionless in the center of the Transformer-themed environment; his chestplate can act as a platform during battle.
Mujoe (known as "Mister Meanie" in the U.S. manual for Saturn Bomberman) appears in this game as a co-host and the final boss. In addition, several bandits from the Hige-Hige Gang cameo in the cut-scene before the last fight as his support crew.
Haruna, an overzealous female NPC that acted as one of the game's two emcees, made her debut in DreamMix TV World Fighters.