The wireless content business continues its rapid consolidation as two major U.S. players announced international acquisitions. The moves are the latest indication that wireless entertainment and application companies are no longer content to serve domestic markets.
First, wireless entertainment heavyweight Mforma Group Inc. announced it purchased Korean wireless gaming company MobileGame Korea (MoGame). Kirkland, Wash.-based Mforma said it would rename the business Mforma Korea. Terms of the deal were not disclosed.
“We see tremendous value in combining the resources of Mforma and MoGame and leveraging our respective strengths and assets to address the Asian mobile entertainment market,” said Daniel Kranzler, Mforma’s chief executive officer. “Korea is the most advanced wireless marketplace in the world, and within Korea, there is no better partner than MoGame, who has been a true leader, creating and delivering top-quality products to the world’s most demanding and sophisticated users. Mforma Korea represents a formidable combination of technology, resources and content that provides wireless carriers with everything needed to be successful in providing mobile entertainment services.”
The two companies have been working together for several years.
Separately, gaming company THQ Wireless said it purchased a controlling interest in European-based mobile applications and billing vendor Minick. Terms of the deal were not disclosed. THQ said the move positions the company to become “one of the largest mobile entertainment content providers in the world.”
Specifically, Calabasas Hills, Calif.-based THQ said the acquisition would add text message voting, information and alert services and wireless marketing campaigns to its list of gaming offerings, as well as deals with European carriers and media companies such as MTV Europe and Universal Music.
“Minick’s superior technology has helped them flourish in Europe with applications such as mobile voting and information services,” said Tim Walsh, president of THQ Wireless. “This venture gives THQ Wireless one of the largest direct-to-consumer billing and distribution network solutions in the world, building on our strength as a turnkey solution for consumers, carriers and device manufacturers alike.”
THQ previously owned a 25-percent stake in Minick. Minick recently reported major 2003 sales with revenue growth and positive net earnings. The company said it will continue with its plans for expansion into the United States and Asia and will retain its current management.
The moves are the latest in the rapidly consolidating market for wireless content and applications. Indeed, there have been several recent multi-million dollar deals, including Japanese gaming company Square Enix’s purchase of UIEvolution, InfoSpace’s Moviso buy and Japanese wireless technology company Index Corp.’s acquisition of Mobliss.
