Yahoo! and GREE Invest $2 Million Into GxYz
Yahoo! and GREE have partnered with each other on a new social gaming initiative. GREE, a Tokyo based mobile gaming company valued at about $2.8 billion, is working with Yahoo! Japan to create a joint venture intended to build social games for smartphones. The new venture will have around 200 million yen ($2.2 million U.S. in funding) to get started. The joint venture is going to be called GxYz.
Yahoo! Japan receives a lot of traffic in Japan. Yahoo! has a 35% stake in the company and it is valued at around $6.8 billion according to a quarterly filing with the SEC.
GxYz is the result of a partnership that the two companies has had since November of last year. GREE’s social games ended up getting a lot of traffic from Yahoo! Japan’s mobile websites. Three directors from GREE and two from Yahoo! Japan will be on the board of GxYz. The company is being led by Tomoyuki Isaka.