Wednesday, July 8, 2015

Handheld Arts Inc. (EA) Grabs Crucial IP In Push For Growth

Electronic Arts Inc. (NASDAQ: EA) is getting its hands on key highbrow property in a bid to establish any costs it incurs as the dominant force in both easily transportable and console games. On Friday the company announced a deal with Universal to produce a series of video games based on the "Minions" cartoon figures from the movies Despicable me items together with Despicable Me 2 .

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That's absolutely not the only content acquisition that Handheld Arts Inc. (NASDAQ: EA) has produced in recent times. It's clear that the operation} is pushing for aggressive finest through channels it's been successful towards in the past. Its ability to leverage potent IP and turn it into firm, repeatable cashflows has made Electronic Activité what it is today, and the process is just clearly not finished just yet.

Aside from the despicable me iPhone license, Electronic Activité Inc. (NASDAQ: EA) acquired most of the rights to Star Wars towards 2013 for ten years. That negotiate is going to pay its first benefits in 2015 with the launch to Star Wars Battlefront. Coming on a back corner of a massive new Star Conflicts movie launch, the game is likely to be a definite smash hit, and there's many more gaming programs to follow in the coming years.

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The firm's traditional licenses so that you can print money, Fifa and Madden remain with the company for the time being. Handheld Arts Inc. (NASDAQ: EA) contains the rights to FIFA licensing correct 2022. The company is going to hold onto Madden as a franchise for a couple of more seasons according to a 2014 announcement based in EA.

While companies like Glu Mobile may pick up a great licence like Kim Kardashian every once in a while, Handheld Arts has been doing it for years. Any company's ability to get its face to face great licenses at competitive fees has set it apart from the subject for some time, and it's going to continue to achieve this in the years ahead.

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Electronic Arts Inc. (NASDAQ: EA) has the talent needed to help make great games, but so completes every other major studio. On easily transportable the real issue is the inability in order to keep hits going for very long, and the disagreement of achieving hit status. Handheld Arts is solving both of individuals dilemmas.

Take the Minions acquisition as an example. The brand will be able to release multiple games in several genres, leveraging each with the site anchor that is the instantly recognizable characters. Whatever game shows momentum gets the advertising push, and secures revenue towards the company through in-app purchases.

Handheld Arts has been using that structure effectively for some years, and its worked. The company's stock is a recepient of more than doubled in the last twelve months to trading. With that kind of momentum to it, there's plenty of room for the operation} to fail, but with those licenses to its name and a consistent, proven strategy to it the company is the best bet for success towards today's video games industry.