Imprisoning US nationals has also helped secure high-profile visits for the regime, with former Presidents Jimmy Carter and Bill Clinton negotiating releases.
North Korea has been ratcheting up tensions following its nuclear test in January, which was followed by a rocket launch last month. South Korea and the US are currently carrying out joint-military manoeuvres.
The lengthy term handed to Mr Warmbier, who is from Wyoming, Ohio, was likely a measure of the growing antagonism from Pyongyang towards its adversaries.
Tough sanctions were imposed on North Korea earlier this month after diplomatic efforts by the US.
However, the DPRK has often imposed stiff sentences before releasing prisoners, and many of those who have confessed later say they were forced to do so.
Last year, a South Korean-Canadian pastor was arrested in the North and handed a life sentence for subversion. Another two Americans are currently detained in the country.