24MAS that specializes in mobile advertising and hosted applications is all set to step in the mobile gaming arena. The Swedish firm has acquired Game publisher, THQ’s Wireless gaming division. Let me get a grip here, advertising, app marketing/distribution and gaming all coming together, sounds quite the right stitch for success.
The amount of this acquisition remains undisclosed but I am sure it must be quite a healthy sum given that THQ Wireless generated $1.7 million in revenues. Although the amount, when compared to the company’s total revenue is quite minute, it is substantial enough to muster a healthy sum. Primarily for the fact that the same division can be fully leveraged by a mobile advertising firm. 24MAS itself possesses quite a healthy portfolio with some quite successful campaigns for the likes of Samsung to mention one.
The idea is simply to amalgamate THQ Wireless with 24MAS’ strategy. This includes content distribution, application hosting and advertising and the acquisition will give a massive reach to millions of potential customers. Tero Turunen, CEO of 24MAS in a release stated:
THQ Wireless’s operations provide a value-add in terms of reach, services and technology, combined with proven management, operational excellence and revenue growth potential.
THQ on the other hand can continue with its focus on developing games for smartphone platforms like those of the Apple iPhone, etcetera while it leverages the global distribution of 24MAS. I guess it’s a win win deal for both the companies.
We will be trying to get more updates on this from both 24MAS and THQ so stay tuned.