Tag: game industry news

Softbank invests in Finnish mobile games developer

| October 22, 2013

Softbank continues showing strong interest in mobile games

Softbank, a Japanese telecommunications corporation, has invested some $1.53 billion in a mobile games developer based in Finland. Per the investment, Softbank now owns a 51% stake in Supercell, developer of popular games like Clash of Clans and Hay Day. Despite the success of its games, Supercell is still considered a small development studio, but the developer is growing quickly and has established a formidable presence in the mobile games space.

Supercell boasts of strong revenue in games sector

Supercell has surpassed Zynga in terms of market value. The developer is currently valued at $3 billion and the developer’s games produce estimated daily revenue of over $2.4 million. The majority of this revenue comes from in-game purchases on virtual items and digital currencies. The financial clout that Supercell represents demonstrates the economic promise that can be found in the mobile games sector. As mobile games continue to grow in popularity, large companies like Softbank are looking to establish a lead in the sector.

Mobile Gaming - Softbank takes over Finish mobile games developerGlobal game industry revenue expected to hit $86 billion by 2016

Market research firm Newzoo predicts that the global revenue produced by the game industry as a whole will reach $86.1 billion by 2016. The firm expects the mobile games sector to grow quickly over that time, accounting for approximately 30% of global gaming revenue. Mobile games currently represent 17% of the revenue produced within the game industry. Consumers have shown that they are willing to spend money on mobile games despite the fact that the majority of these games are free to play.

Softbank aims for the global stage with mobile games

Approximately 20% of the investment coming from Softbank will be funneled through the company’s own mobile games studio, GungHo Online Entertainment. Softbank has already established a formidable presence in the Asian game market through its subsidiaries, but the company is not turning its interests to the global stage. Softbank is well positioned to compete with other large companies, such as Electronic Arts, that have begun entering into the mobile games sector.

Ubisoft announces acquisition of mobile games developer

| October 4, 2013

Mobile games become a strong focus for Ubisoft

Prominent game developer and publisher Ubisoft has announced its acquisition of Future Games of London, a developer of mobile games. The development studio was first established in 2009 and has established a strong foothold in the mobile space since then. The developer boasts of more than 100 million downloads for its mobile games and continues to make strong progress in this sector. Ubisoft has been showing aggressive interest in the mobile field in recent years, especially as mobile games become more popular than traditional handheld titles.

Ubisoft builds a stronger presence in the mobile space

Ubisoft is working to establish a stronger presence in the mobile games sector. These games have managed to attract a great deal of support and attention from consumers around the world and have become one of the most lucrative sectors of the game industry as a whole. Ubisoft is only on among many companies that have shown an interest in mobile games for the economic and entertainment prospects they represent.

Mobile Games - UbisoftDeveloper to gain access to Ubisoft resources

Future Games of London will continue operating as it has done for the past several years for the most part. Through the acquisition, however, the developer will have access to the abundant resources that Ubisoft offers. Ubisoft will also gain access to the developer’s range of mobile games and will be able to market these games and ensure they reach a wider audience. Ubisoft has proven time and again that it holds a strong position in the game industry. Last year, the company generated more than $800 million in profit, more than enough to encourage expansion into the mobile field.

US becomes an attractive market

Backed by Ubisoft’s support, Future Games of London is expected to concentrate on breaking into the U.S. market with new online games developed for mobile devices. The developer will also work on improving its game infrastructure in foreign markets in order to bolster its global network. These plans align well with Ubisoft’s operations.