Glu Mobile investing $7.5 million in QuizUp, could acquire in the future
Icelandic company QuizUp announced today that it’s receiving $7.5 million in funding from Glu Mobile. As part of this deal, Glu Mobile will also have the option to acquire QuizUp in the future.
This investment isn’t surprising in the least, particularly after NBC in October announced plans to partner with QuizUp, attempting to turn it into a TV show on the network. This obviously requires some extra money, which is where Glu Mobile’s investment comes in.
Glu Mobile’s CEO and Chairman Niccolo de Masi, speaking on the option to acquire in the future, said:
“Glu is looking to consolidate once our partnership proves out the monetization capability of the QuizUp audience and app,” said de Masi. “At the moment the company has yet to begin monetizing significantly and as such would not be accretive to acquire outright.”
QuizUp has a bright future, thus Glu Mobile’s willingness to put some serious stake in the company. QuizUp has over 31 million registered users who have played more than 5 billion games on the trivia app. Those numbers are insane, though QuizUp has yet to seriously monetize the platform.
The way QuizUp currently earns cash is through branded partnerships. One of those big deals was with the Twilight saga, where trivia content was developed around the films. Glu Mobile and QuizUp will obviously be exploring different avenues of monetization in the future. There aren’t any firm details on what that’ll look like, but ads will no doubt be a big part of the conversation.
Glu and QuizUp plans on working on the NBC TV show together, with hopes that it’ll only further increase downloads, registered users, amount of games played on the trivia platform, and as a result, an increase in branded partnerships and better opportunities for monetization.
One thing’s for certain: Glu Mobile will have a bright future with QuizUp.
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