As part of plans to expand into the mobile games market, Seattle-based company RealNetworks has acquired Finnish developer and publisher Mr.Goodliving at a cost of $15 million cash.
It's estimated that the move will generate incremental revenue of approximately $3 million for 2005, and $8 million next year. Revenue guidance for 2005 has also been updated from between $320-$330 million to $323-$333 million.
RealNetworks, which describes itself as "the global leader in downloadable PC-based casual games", intends to introduce Mr.Goodliving's catalogue of titles to the US and Asian markets for the first time.
"Mr.Goodliving has a proven record of developing and delivering innovative mobile games content throughout Europe, where mass market adoption of advanced mobile services is firmly established," said RealNetworks CEO Rob Glaser.
"By joining forces with Mr.Goodliving, we are now expanding our casual games business onto mobile handsets worldwide."
Mr.Goodliving's portfolio includes the Playman Sports series and European distribution rights for the mobile edition of Trivial Pursuit. The company has also developed EMERGE, a proprietary development platform which enables scalable publishing of games to more than 200 handsets in 20 languages.
"Joining with Real enables our team to continue creating more of the top selling mobile games and provide those games to a wider global audience through Real's mobile distribution network," said Mr.Goodliving CEO Juha Ruskola.
"We are very pleased to apply our creativity and technology skills to help Real become a leader in this rapidly expanding and ever changing mobile games industry."
Mr.Goodliving will operate as a wholly-owned subsidiary of Real, and all staff will continue to work in the firm's Helskinki office.
RealNetworks recently released Q1 2005 figures revealing that its casual games division generated more than $12 million in revenue over the period - an 80 per cent increase over the first quarter of 2004. Real currently has deals in place with more than 70 wireless operators around the globe.