Viacom’s MTV Networks today announced that it will acquire Atom Entertainment Inc., home to web-based short film distributor AtomFilms and three other major online entertainment destinations. The $200 million buy-out will give MTVN control of AtomFilms.com, Shockwave.com, AddictingGames.com and AddictingClips.com, which the company will use to expand its multiplatform distribution of music, games, entertainment, news and interactive content. The transaction is expected to be coplete in the third quarter of this year.
‘This acquisition is right on the money with our digital strategy,’ comments Viacom CEO Tom Freston. ‘It adds great scale with users, improves our growing casual gaming position and brings a world-class digital video library and a fantastic management team.” The deal follows MTVN’s recent purchases of XFIRE, Y2M, GameTrailers.com, IFILM and Neopets, all popular web destinations for young consumers.
AtomFilms.com and AddictingClips.com will add to MTVN’s 24 broadband channels and its library of user-generated content, while the addition of Shockwave.com and AddictingGames.com is intended to help the company get a stronger foothold in the casual gaming market, which is growing in leaps and bounds.