Virtual Worlds News

UPDATED: Applied Research Associates Acquires Virtual Heroes

We reported in October that Virtual Heroes was looking for a round of funding or a potential sale. Today Applied Research Associates announced that it had snapped up the serious games and virtual worlds developer. Terms of the deal haven't been disclosed--though every ARA employee, including Virtual Heroes CEO Jerry Heneghan and others are part owners of the company--but it doesn't seem like Virtual Heroes was in a dire situation. 

Disney Online Buys Up Kaboose's North American Assets

Today Kaboose announced that it had sold essentially all of its assets in two deals. Kaboose, a family-focused media company, has sold its UK business (Bounty Group Limited, acquired in 2007) to a group controlled by funds from Barclays Private Equity. Disney Online is picking up the North American assets, including all Kaboose online media properties and businesses, for approximately CAD$23.3 million CAD or US$18.4 million. 

"This acquisition strengthens our position as a top entertainment destination for kids and families, and a trusted online resource for parents.  These new Web properties complement Disney Online’s category-leading kids and family sites, broadening our audience and infusing an array of new content into our sites, particularly in the baby and mom categories," Paul Yanover, Executive Vice-President and Managing Director of Disney Online, stated.

Stardoll Acquiring Piczo, Rebranding For Tweens

Stardoll is acquiring Piczo, a free website builder, for an undisclosed amount of cash and equity, VentureBeat reported today.  The motivation, according to CEO Mattias Miksche, comes from an increasing interest in Stardoll's users to express themselves in more ways. It sounds like one way will soon be through creating their own websites as well. Stardoll will run Piczo in whole, only bringing over a European sales director. The company is also rebranding its experience for tween users as PaperdollHeaven.com.

Stardoll currently  boasts 12 million unique users per month and Piczo, 7 million. They likely cover different demographics, though it seems like a lot of the activity on Piczo is centered around celebrities and fansites, which meshes well with Stardoll. In Stardoll users could already create their own profiles to act as homepages, but now they should be able to do something with a bit more depth. [via VentureBeat]

Disney Acquires Kerpoof For Kid-Generated Content

Disney.com, part of the Disney Interactive Media Group, announced today that it had acquired Kerpoof, a Web-based suite of tools that lets kids create scenes, art, avatars and more. Kerpoof will continue to operate on its own out of Colorado and develop new features, but elements of its applications are already being integrated into Disney's Characters portal to let kids create and print their own pictures. No further specific plans have been announced, but when asked whether the acquisition could affect Disney Online's virtual worlds, a represenative said that the company was considering all options.

Microsoft Looking To Buy 3D Camera System for $35M

Microsoft is currently in discussions with 3D camera developer 3DV Systems for $35 million, according to Haaretz.com. The Israeli startup makes the Z-Cam, a depth-sensing camera, and has recently completed a prototype for a low-cost, Web camera that could extend its reach. 3DV Systems lists its applications primarily in gaming and Web conferencing, though Haaretz reports that Microsoft is primarily interested in 3DV for potential use in its own gaming divison and likely in conjunction with the Xbox 360.

There is another wrinkle and one that would play in to the conferencing side of things: 3DV Systems developed the cameras that Mitch Kapor and Handsfree 3D used to show off their gestural interface system for Second Life last year. Of course, there are other hardware manufacturers as well, though 3DV apparently contributed support, so it may not matter too much.  [via PaidContent]

Mind Candy Acquires Tutpup from Cominded Ltd

Mind Candy, the developer behind Moshi Monsters, announced in a blog post today that it had acquired Tutpup from Cominded Ltd. Moshi Monsters lets users create and care for cartoony monsters. It also promotes an entertaining brand of education with 60-second puzzles each day across skills like logic, math, and vocabulary  to earn virtual currency and compete with other users. Tutpup, in turn, is much more focused on education with a variety of math and spelling puzzles and games to compete over.

Q&A: Tom Hale, CPO, Linden Lab, on Xstreet SL and OnRez Acquisitions

Earlier toda y Linden Lab announced that it had acquired two Web-based virtual goods storefronts, Xstreet SL and OnRez. With them, Linden has found a new way to reach out to its consumers, letting them stock up on Second Life merchandise without having to log into the virtual world, and a potential new revenue source by taking a commission on sales. We spoke with Tom Hale, Chief Product Office, Linden Lab, about how the acquisitions fit in to Linden's business and product plans and what it might mean for the company.

Linden Lab Acquires Two Web-Based Virtual Goods Markets

Linden Lab announced today that it had acquired two Web-based  virtual goods storefronts, Xstreet SL and OnRez. Linden Lab has so far only indirectly made money from the $360 million market (in 2008 alone) of virtual goods inside of Second Life, charging for land/server space to host in-world stores and taking a commission as money was transferred in or out of the virtual world. Now it is poised to directly monetize sales, and simplify them to, with a 5% commission through its new Web marketplace.

Meez Merges with Pulse, Raises New Round Led by Anthem

Meez announced today that it had merged with Pulse Entertainment, an avatar-based messaging service for phones and the Web, and that it had raised a new round of financing led by Anthem Venture Partners. Meez will integrate Pulse's messaging with its own avatars, social network, and virtual world. Meez, which currently boasts 8 million users (I'm guessing that's "registered"), will also expand to offer its services and new products to Pulse members. Among other changes, the merger will let Meez takeits avatars and virtual goods business to the mobile screen.

Infogrames Acquiring Cryptic Studios

This is more in the MMO than virtual world space, but Infogrames, parent publisher of Atari, announced today that it had entered into an agreement to acquire Cryptic Studios for $27.6 million and up to $20 million in sales-based incentives. Cryptic staked a place in the MMO community with City of Heroes and City of Villians for NC Soft, which attracted 180,000 subscribers at one point and $100 million in lifetime revenues. It's now working on both PCs and consoles to develop Champions Online (2009), the highly anticipated Star Trek Online (2010), and another unnannounced title.