Atari Agrees to Acquire Digital Eclipse in Effort to Expand Development Capabilities
Atari, the renowned video game publisher, has recently announced a deal to acquire Digital Eclipse and bring the developer into its studio portfolio. The acquisition aims to enhance Atari’s internal development capabilities while granting access to Digital Eclipse’s cutting-edge technology. Additionally, Digital Eclipse will seek to expand its own business and development capacities, benefitting from access to Atari’s extensive range of intellectual properties (IP).
The purchase of Digital Eclipse is expected to cost Atari $6.5 million, with $4 million in cash and $2.5 million in Atari stock. However, the deal does not end there, as an additional $13.5 million will be paid over the next decade, contingent upon Digital Eclipse’s performance. The completion of this acquisition is anticipated in the coming days.
Digital Eclipse expressed enthusiasm regarding the deal, stating, “We are a small studio with big dreams. Atari is a legendary publisher with a new spirit. We loved working on the Atari 50 together. We understand each other. This looks like a great way for both organizations to achieve many of our future goals together better and faster.”
Despite now having access to Atari’s vast IP, Digital Eclipse assured that it will continue with business as usual. The developer plans to integrate seamlessly into Atari’s portfolio, making the most of the synergy between the two entities.
This acquisition is a strategic move for Atari, as it bolsters their internal development capabilities and provides them with enhanced technological advancements through Digital Eclipse. It also offers Digital Eclipse an opportunity to expand their business and tap into Atari’s treasure trove of renowned video game titles.
The video game industry is witnessing a wave of acquisitions and collaborations as companies strive to strengthen their positions in an increasingly competitive market. With this deal, Atari and Digital Eclipse aim to leverage each other’s strengths to create new and exciting gaming experiences for their audiences.