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In-Fusio aims to cash in on U.S. gaming

The U.S. wireless gaming market recently expanded yet again with the emergence of European gaming powerhouse In-Fusio. The Bordeaux, France-based gaming company has been offering wireless games and technology in Europe since 1999 and last year launched its U.S. efforts.

“We’re setting up now a complete sales and marketing team in the U.S.,” said Gilles Raymond, In-Fusio’s founder and co-chief executive officer. “We’re a very good challenger for the U.S. market.”

Indeed, In-Fusio is looking to cash in on the significant gaming opportunity in the United States, which research and consulting firm Zelos Group predicts will grow from just $40 million last year to more than $380 million by 2007. A variety of players, from Jamdat Mobile Inc. to Mforma to Sorrent Inc., are looking to crack open that opportunity.

“Two years ago, the U.S. market was close to zero” in terms of revenues, said In-Fusio’s Raymond, explaining the company’s decision to enter the market. “In two years, it’s grown to close to the size of the European market.”

Within three months of deciding to enter the U.S. market, Raymond said, In-Fusio had scored a U.S. carrier deal and was selling its “Terminator” game, which is based on the “Terminator” movies staring Arnold Schwarzenegger. Today, the company offers five games through Verizon Wireless, 11 games through Sprint PCS and three through AT&T Wireless Services Inc. Raymond said the company plans to expand its gaming offerings in the United States.

Founded in 1998, In-Fusio was one of the first companies to invest in wireless gaming. The company began developing its own games and created its ExEn gaming engine. The ExEn engine sits on top of a Java virtual machine inside a mobile phone and essentially improves game play by supporting real-time multiplayer functions, third-dimensional technology and vector-based animations. In-Fusio teams with carriers to distribute its downloadable games and with handset manufacturers to install its ExEn gaming engine into handsets. Today In-Fusio offers 65 wireless games through almost 100 carriers worldwide, and its ExEn engine has been installed in 20 million handsets from the likes of Siemens AG and Panasonic.

The key to a successful wireless gaming offering, Raymond said, is to create a sense of community. In-Fusio offers multiplayer games, contests, promotions and online high scores in an effort to engage users and attract new ones. Raymond said In-Fusio is using Amazon.com as sort of goal for the company’s offerings.

“Amazon.com is not just a bookseller,” he said. “Amazon.com sells books but also manages a community.”

In-Fusio last year purchased U.S. games developer Cybiko in its efforts to enter the market. Raymond said In-Fusio is working through the distribution networks of U.S. carriers, but it also is looking to install its ExEn gaming engine into U.S. mobile phones. The engine gives users more direct access to In-Fusio games.

“As soon as the carrier will want it … for sure we’ll do it,” he said of the engine. “We’re going step by step.”

In-Fusio counted $15 million in revenues last year and said it is profitable.

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