Saturday, September 23, 2006

IP or Developer, what's worth more?

It would seem that through the latest bout of acquisitions, you must think "developer". I say this on the back of Activision's E3 $75m acquisition of the Guitar Hero IP from (and including the purchase of) Red Octane, who generally did the hardware bits with Harmonix doing the development. I (along with many others, I think it's fair to say!) thought that Harmonix would be incredibly and obviously linked to this deal.

That was before the announcement yesterday that MTV had purchased developer Harmonix for $175m - they had previously completed "Frequency" and "Amplitude" (both great PS2 music titles) as well as pitching in on Konami's Karaoke titles. You would presume they got them to drive new music titles rather than titles in Guitar Hero IP titles.

It's all interesting reading and I think (which is important to me at least) it backs up my theory that CONTENT IS KING. Those that can make, create and control the common applications has hugely strategic value.

I apologise unreservedly for a totally serious post :-)

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