Deals

Marissa Mayer and Yahoo are on fire, acquiring gaming company PlayerScale

Image Credit: PlayerScale

If I can paraphrase a popular Alicia Keys song, this woman is on fire. Marissa Mayer is clearly moving Yahoo back into the center of the Silicon Valley tech conversation.

Days after finalizing a $1.1 billion Tumblr acquisition, and coming hot on the heels of a massive image-buffing retrofit of the photo-sharing community Flickr, Yahoo has bought yet another company.

Finally, after years of virtual irrelevance at the search/media company, Mayer has Yahoo doing huge and interesting things again.

PlayerScale, a cross-platform game infrastructure startup that provides tools for games played by 150 million users on platforms such as iOS and Android, announced the acquisition on its site today. And — unlike recent Yahoo acquisitions like Astrid — CEO Jesper Jensen said the company would continue to operate as it has, supporting over 2,600 developers and 4,000 games.

In fact, he added, PlayerScale is adding 400,000 users a day.

“With Yahoo’s backing, we can crank out awesome products and improvements to our platform faster than ever before,” Jensen said.

Marissa Mayer

Above: Marissa Mayer

Image Credit: Sean Ludwig/VentureBeat

That would be a major change from recent Yahoo acquisitions such as Stamped, OnTheAir, Snip.it, Alike, Summly, Jybe, and Astrid, all of which have been shuttered or put on notice. But it makes sense, given PlayerScale’s volume of business and growth rates.

And the move seems to make sense given Yahoo has now signaled a move into casual gaming on iOS, Android, Facebook, the web, and even Xbox.

PlayerScale’s platform helps game developers with pretty much everything they need to make their game platform work, except the game itself. It includes payments, chat, analytics, virtual currencies, distributed caching, authentication, social sign-on, leaderboards, localization, and more.

Here’s CEO Jesper Jensen’s announcement in full:

Today is a great day — both in our journey with PlayerScale and for users of our Player.IO product. We are happy to announce the next big step toward our goal of building the best possible gaming infrastructure platform: we have been acquired by Yahoo!. And don’t worry, we’re not going anywhere. Our platform will continue to support the same great games that you love playing today … and in fact, it will only get better from here!

Our goal has always been to help developers build the best possible games, without having to worry about building and scaling the infrastructure required to operate today’s biggest successes. In working with the folks at Yahoo!, it has become clear that we share this passion.

We have spent the past four years growing a three-person startup into a product that powers games played by over 150 million people worldwide and we are adding over 400,000 new users every day. In the last four months alone, we have increased our daily user growth rate by almost sixty percent. With Yahoo!’s backing, we can crank out awesome products and improvements to our platform faster than ever before. We will continue to support our existing product and deliver new services to help you grow and manage your success in cross-platform gaming — whether it’s casual, social or mobile.

Today marks a milestone for PlayerScale and I want to sincerely thank the team, our developers and millions of users for the adventure so far and can promise there will be more to come.

- Jesper Jensen

Image credit: Sean Ludwig/VentureBeat


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