Yahoo! Makes Play For Mobile Game Market

In a move designed to boost its position in the mobile gaming market, Yahoo! Friday announced the acquisition of Stadeon Inc., a technology company that helps mobile gamers engage other gamers on mobile devices or their home computers.

At present leading the online gaming space, Yahoo! understands that future success will rest on the company's ability to engage gamers beyond their bedrooms.

The financial details of the transaction were not disclosed. Yahoo! earns revenue from advertising on its game Web site, but previous attempts to sell games have been largely unsuccessful. But the company hopes consumers will be willing to pay to play on their Web-enabled cellphones and laptops, said a Yahoo! spokeswoman. She added that the company planned to release more details at the E3, Electronic Entertainment Expo video game conference in Los Angeles in May.

Stadeon's founder and Chief Executive Officer John Cahill, and its Chief Technology Officer Lee Crawford--who built online game networks for Sega Corp. and AtomShockwave Corp.'s Shockwave.com--will be brought into the Yahoo! Games Studio, part of Yahoo!'s media group, to run the mobile gaming business.

advertisement

advertisement

"Casual games" like chess, checkers, and poker are currently available through Verizon Wireless, said a Yahoo! spokeswoman, but other wireless carriers will be added shortly.

Yahoo! is currently the leading gaming destination on the Web, according to Nielsen//NetRatings, drawing nearly 12 million unique visitors in January. Second was EA Online, owned by Electronic Arts, with 8.8 million--followed by Microsoft and Time Warner's America Online.

Industry experts see the mobile video game market as the smallest, but fastest-growing, segment within the larger gaming industry, which took in more than the movie business last year.

Separately, Yahoo! Friday said that it would be providing Spanish-language content on its Autos site, attempting to ingratiate itself with the domestic ethnic market. Yahoo! Autos will link to Motor Trend.com from now on, Yahoo! said.

Next story loading loading..