RealNetworks Acquiring GameTrust For $50 Million

Posted Sep 25, 2007

RealNetworks, Inc. (NASDAQ:RNWK) is known for its digital media software that revolves around music.  RealNetworks’ develops popular music software, Rhapsody.  RealNetworks’ market capitalization as of right now is about $1 billion and they’re planning to acquire a small gaming company called GameTrust for under $50 million.  GameTrust develops flash games that revolve around contests and multiplayer abilities.

GameTrust  was founded in 2002 by Adeo Ressi.  Adeo sold a company he started in 1994 called Total New York Inc. to AOL.  AOL rolled Total New York into AOL Digital Cities.  Adeo also started methodfive, inc., brought in $2 million from Pricewaterhouse Coopers and then sold the company to Xceed for $88 million.

Some of RealNetworks’ previous acquisitions inlcude Zylom Media Group B.V., WiderThan Co., Ltd. and Atravia Latin America Ltda. in 2006.  And RealNetworks acquired Sony NetServices in 2007.  Sony NetServices was a joint venture between Sony DADC and Sony Europe.

[Information Source: Paidcontent]