Viacom Buys Xfire for $102 Million

[fitbabits]

Next Generation (http://www.next-gen.biz) is reporting that media giant Viacom (parent company of MTV, Comedy Central, etc.) has purchased Xfire, the online gaming community platform, for $102 million.

You can read the full article here (http://www.next-gen.biz/index.php?option=com_content&task=view&id=2805&Itemid=2).

Xfire will join Viacom's MTV Networks, which will use its leverage to launch more aggressive marketing, achieve global penetration and greater integration with Viacom's other gaming-related properties. GameTrailers and NeoPets are also MTV Networks brands.

Although his company is being swallowed up by one of the biggest corporate entities on the planet, Xfire CEO Mike Cassidy stated that his company will retain "the operational flexibility to maintain the integrity of the Xfire brand for our users." He added, "Having the benefit of MTV Networks’ marketing expertise and the power of their brands behind us will allow us to reach more users in more countries, across more platforms."

Viacom CEO Tom Freston said that the deal is "terrific", and that "It's a bull's eye against our young audiences, and meets our strict financial targets."
Holy cashflow, Batman!

[Abash Alarmist]

Shit...Thats a lot of money.

[Royal Fool]

That's ridiculous.

[Citizen Philip]

Viacom CEO Tom Freston said that "resistance is futile", and that "We will add your biological and technological distinctiveness to our own. Your business-culture will be adapted to serve us, and meets our strict financial targets."

I knew it.

[siz]

Xfire was a much better product then their first idea: Ultimate Arena - where gamers competed against each other for money. (The domain www.ultimatearena.com still resolves to xfire). I had beta tested both since the company I worked with shared funding partners. $102 Million sounds like a lot since as far as I knew, the company had little revenue. Its almost like 1999 where profit doesn't matter.. just users and buzz.

Well at least it happened to a good group of guys.

[Cool AN]

I have come to the conclusion, that Viacom is rich.

[hund_]

i use x-fire daily.i hope they dont skrew it up.

[Borys]

Wow, that's a lot of money.

I will, however, laugh my ass off when Vista launches with Windows Live! incorporated right in its kernel (that's my personal dream). Can you imagine it? Playing every game, using Word, PowerPoint, VisualStudio etc. all while being connected to WLive! service with voice/ camera chats, video conferences etc.

How awesome would that be?

[Citizen Philip]

Wow, that's a lot of money.

I will, however, laugh my ass off when Vista launches with Windows Live! incorporated right in its kernel (that's my personal dream). Can you imagine it? Playing every game, using Word, PowerPoint, VisualStudio etc. all while being connected to WLive! service with voice/ camera chats, video conferences etc.

How awesome would that be?

That would be totally hegeomonic! :eek:

[Demize99]

Well, time to uninstall before I get MTV Adware on my PC.

[Suicidal ShiZuru]

Well, time to uninstall before I get MTV Adware on my PC.

Sarcasm I hope? I couldnt live without Xfire, been using forever.

[DCJoeDog]

Well, x-fire had a good run, time to uninstall
if corparate america touches something ont he net, it becaomes tainted and less then what it was originally

[GunJ]

Wow, that's a lot of money.

I will, however, laugh my ass off when Vista launches with Windows Live! incorporated right in its kernel (that's my personal dream).

Damn that concept sounds intriguing to say the least - I take it that it's only your dream as you stated or was there a hint of possibility somewhere..
Nevertheless sounds like something MS would actually be capable of - as a move to bring PC & both Xbox platforms closer to each other. ( Not sure but I read somewhere that Vista could be a step closer to Xbox games compatibility - dont remember exactly where I read it though) If that would be the case than Live functionality on Vista-running PCs wouldn't sound impossible.

As to the Xfire transaction - I am not an Xfire user - but having a media conglomerate including MTV brand backing this service, makes me think It may become a strongly advertised Mainstream-oriented contact platform for gamers. ( Not entirely sure if it's a good or bad thing yet )
Ads of crap will be there in abundance - that's for sure ...
Interesting what will they do with it seeing as they paid 102 big ones for it...

Demize99 - MTV adware - LOL ! Had similar thoughts there :) However Its almost certain that some crap will be bundled with it - whether we like it or not.

[Grimmjow]

Well, time to uninstall before I get MTV Adware on my PC.

i agree, i can see the music video ads going on and ads for pimp my ride

[Furtive]

Yeah this is sad news. Congrats to the the makers of Xfire though. I'll keep xfire around for a while and see how this turns out but i cant shake the feeling that I'll be forced to uninstall it pretty soon. Hopefully Steams friends will be up and running (read: out of beta) by the time I'm forced to uninstall xfire.

[ElPresidente]

I can just picture Thresh on the phone to his mother...

"See mom! I told you this gaming thing wasn't a waste of my time. $102 million mom! $102 MILLION!!!"

[LilAbner]

Another day, another victim of Thresh's scams.

First CMGI (which gave him $11m for Gamers.com), now Viacom.

[Iron Maiden]

i met dennis and had dinner with the entire xfire staff at e3 first time when they were ultimatearena and then following e3 when they made xfire, good group of guys, ran a few tournaments which i won money at so good for them