Electronic Arts has just announced that it is planning on acquiring another gaming studio. With a deal of 2.4 billion US Dollars, the company aims to acquire Glu Mobile by the second quarter of this year.
As per a VentureBeat report, the new deal marks the second major acquisition from EA in recent weeks, with it previously buying out publisher Codemasters. For those unaware, Glu is best known for a Kim Kardashian Hollywood game, along with other mobile games like Tap Sports Baseball, Dine Dash Adventures, and Disney Sorcerer’s Arena. The publisher is a known for mobiles titles with big budget that often include full 3D visuals. Despite this, it still offers its games as free to play titles that run for years and generate revenue through in app microtransactions.
Notably, this business model is what Electronic Arts wishes to switch towards in the future, and has even repeatedly informed its investors as well. EA CEO Andrew Wilson said that “Our acquisition of Glu combines amazing teams and deeply-engaging products to create a mobile games leader with proven expertise across many fast-growing genres. Mobile continues to grow as the biggest gaming platform in the world, and with the addition of Glu’s games and talent, we’re doubling the size of our mobile business.”
Similarly, Nick early, Glu chief executive also added that “This transaction is the culmination of the tremendous work of the Glu team to deliver world-class interactive experiences for our players, while driving business momentum that has led to strong financial and operational results. It represents a terrific outcome for all of our stockholders and other key constituents. This transaction is the culmination of the tremendous work of the Glu team to deliver world-class interactive experiences for our players, while driving business momentum that has led to strong financial and operational results. It represents a terrific outcome for all of our stockholders and other key constituents.”
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