Netflix is making another acquisition to bolster its fledgling video game business.
The subscription streaming giant is buying Finland’s Next Games, in a deal that values the game developer at around $72 million.
Next Games, which was founded in 2013, specializes in mobile games and is best known in the United States for a game based on Netflix’s intellectual property, Stranger Things: Tales of Riddles. The company made around $30 million in revenue in 2020, mostly from in-app purchases.
Next Games will join another mobile game studio, Without beef developer Night School Studio, within the Netflix games group. The streamer acquired Night School in September.
Netflix only announced its push into video games last summer, with an initial focus on mobile games that will be added to the company’s existing subscription offering. This is the first list of games launched in November, including two stranger things– thematic titles.
The games push is part of a larger effort by Netflix to not only delight its members, but to serve them on more platforms, and especially on mobile, where people are less inclined to watch movies and full TV shows.
“Next Games has a seasoned management team, a strong track record with mobile games based on entertainment franchises, and strong operational capabilities,” Michael Verdu, vice president of games for Netflix, said in a statement. “We are thrilled to have Next Games join Netflix as a lead studio in a strategic region and key talent market, expanding our in-house game studio capabilities. While we’re just getting started in games, I’m confident that with Next Games, we’ll be able to build a world-class game portfolio that will delight our members around the world.
The acquisition of Next Games is expected to be finalized in the second quarter of 2022.