netflix-set-to-purchase-mobile-game-developer-next-games-for-$72-million

Netflix set to buy cellular game developer Next Games for $72 million

Image through Next Games

Netflix is without doubt one of the largest names within the leisure business and has fully modified the world of streaming tv, however many individuals may not notice additionally they have a gaming division. Generally, they outsource the event of video games based mostly on their properties to different studios, however their newest acquisition may show a change of their technique.

Netflix has acquired Next Games, the builders of titles based mostly on Stranger Things and The Walking Dead cellular video games, for a wholesome sum of €65 million – or roughly $72 million. In the official announcement on Next Games’ web site, Netflix’s vp of video games Michael Verdu mentioned, “We are excited for Next Games to join Netflix as a core studio in a strategic region and key talent market, expanding our internal game studio capabilities. While we’re just getting started in games, I am confident that together with Next Games, we will be able to build a portfolio of world class games that will delight our members around the world.”

The deal nonetheless must be accepted by the shareholders of Next Games, however that’s more likely to be a simple sale to them for the value being supplied.

While this deal may not be on the identical scale as different acquisitions in 2022, it exhibits a brand new path for the leisure large. According to video games business analyst Piers Harding-Rolls, that is in step with Netflix’s technique of bringing small however established studios with whom they’ve had a earlier working relationship. In a brief thread on Twitter, he identified that this makes them extra simply built-in into the company construction of Netflix.

This buy may very well be the beginning of a brand new acquisitions technique for Netflix, which has round 200 million subscribers worldwide to their streaming service. The month-to-month income that a big buyer base generates ought to give them the cash-on-hand to drive comparable purchases sooner or later.

Netflix focused & savvy with its present video games studio acquisition technique in opposition to a aggressive backdrop

>smaller however established studios which are extra simply built-in

>which have a observe document engaged on ent IP or narrative titles

>corporations it has a working data of pic.twitter.com/Zxi6JyOzKg

— Piers Harding-Rolls (@PiersHR) March 2, 2022