RealNetworks Swallows Gamehouse
BileDog writes "RealNetworks today announced it has entered into a definitive agreement
to acquire Seattle-based GameHouse, Inc., a top developer, publisher and distributor of downloadable PC games, in a cash and stock transaction valued at approximately $35.6 million. Seems that online 'casual gaming' creators are starting to consolidate in a similar way to their offline counterparts." PC World has further comments on this deal, explaining: "RealNetworks' RealArcade competes with products such as Microsoft's MSN Games, Yahoo Games, and Pogo.com from Electronic Arts", and including an analyst's comments that: "By acquiring GameHouse, RealNetworks now has control over the content and no longer has to depend on what third parties develop." Apparently, full control over Thomas Kinkade online jigsaws is pretty important in reaching the true mass market.
..so how can they aford 35.6 million?
And here I thought they were buying it for Caribbean Stud Poker(19)
meep
"It's like that homeless gentleman that keeps asking me for copper coins outside the tube station; no matter how many times I push him down, he keeps getting back up again."
;)
Compassion at it's finest
Realnetworks have just invested millions into a fancy website that allows you to download pacman, tetris and solitaire.
I am not saying these games are not fun, I am just saying these games don't wow anybody in 2004.
Apparently, full control over Thomas Kinkade online jigsaws is pretty important in reaching the true mass market.
;)
When completed do the online jigsaws seemingly change from day to night if you lower your monitor's brightness?
Let's see what we have here... Age of Wonders, Age of Wonders 2, Civilization III, Dungeon Siege, Neverwinter Nights, Rise of Nations, Temple of Elemental Evil, Couple of Tom Clancy games, Couple of Tomb Raiders, Tropico, Zoo Tycoon, etc. Some old ones, some newish ones. It let me try Angel of Darkness and Splinter Cell without coughing up a lot of cash only to find I didn't like em too much. It's a nice service. And I'm addicted to Tropico.
What's more amazing is that someone is willing to spend over $35M advertising through these games! I could find better things to do with $35M, I can tell you that.
I am government man, come from the government. The government has sent me. -- G.I.R.
However, once you've taken that market like Real quietly has over a few years, you don't have any real way to expand it; there are only so many computer users looking for a light 15 minute game. So now they're engaging in some consolidation like with this aquisition, and in the future, I've heard, they're going to try to target a wider market.
If somebody has asked me how much I thought that deal was worth, it would have been WAY less than that. Give me the help of a semi-decent artist, and I could have made any of GameHouse's games, most of them within the space of a couple days, really. (Those are the best ones, too.) I've been wasing my time playing these things when I should have been making them, apparently.
It wont be long before (buffering...)the 'casual game' market (buffering...) leaks into (buffering...) the 'hardcore game' mar(buffering...)ket.
If Doom III and Half Life 2 were only available via Real Networks, I wouldn't buy them. I find Real Networks strategy of installing an enormous (spyware?) app on your computer to be particularly awful. Anyone else noticed how on download.com they advertise all the games as a free download, but you actually are just downloading their free game browser? Most if not all the games available on Real Networks are available from the original developer (who only receives 20% of the profits not including any associated costs from Real Networks, i.e: they receive next to nothing) So find out who that is, and go and buy a game from them if you like it. That way, you will at least be supporting further game development from a game company you like, instead of a bunch of gutless middle men. You'll also have the bonus that you don't have to install the stupid real networks game browser application.
... You could but you DIDN'T.