Report: Google Buying Virtual Payments Provider Jambool for around $75 Million

As part of Google’s latest attempt to build a social platform alternative to Facebook, the company is reportedly buying virtual monetization service provider Jambool. The price is $55 million plus an earn-out worth between $15 million and $20 million, according to TechCrunch.

Reached by phone, Jambool cofounder Reza Hussein gave us a firm “no comment.”

Jambool, maker of the Social Gold virtual currency payments wrapper, has been busy building its business both on and off of Facebook — but mostly off, these days, as Facebook has been indicating that it plans to make its Credits virtual currency the exclusive payment option in games. Major developers including CrowdStar and Playdom have already signed on to Credits, essentially removing the need for Jambool’s multi-payment service on Facebook’s platform.

As it has been squeezed out of Facebook, Jambool’s approach has been to argue publicly against Facebook’s idea of Credits — see this recent guest post from cofounder Vikas Gupta for more on that — and to expand with other partners. One of those partners is MySpace, also a Google ally against Facebook.

Given that Google is trying to create an alternative to Facebook, and that Jambool can only really function off of Facebook, this deal seems like a good fit. Jambool’s founders, Amazon payments veterans, can help Google figure out how to integrate payments as part of a social platform. Of course, this follows Google’s recent purchase of Slide and its investment in Zynga, other moves designed to bolster its social leadership and product portfolio.

Jambool had raised $6 million in two rounds of venture funding.

Social Media 101

Mediabistro Course

Social Media 101

Get hands-on social media training for beginners! Starting November 10, hear from our expert speakers on the  best practices for getting set up on the major social media platforms, how to create meaningful content, and engage with your audience across sites. Register now!


Leave a Reply

2 Responses to “Report: Google Buying Virtual Payments Provider Jambool for around $75 Million”

  1. Offerpal Gets Another New CEO, Mihir Shah says:

    [...] would need to radically change its business plan, along with services like Social Gold (which was recently bought by Google). To transition off Facebook, Offerpal has been looking everywhere it can, including mobile offers [...]

  2. Google’s Chrome Web Store Puts Social and Casual Games Side-By-Side says:

    [...] free apps may do best on the Web Store. Over time, a base of repeat payers using Google Checkout or Google acquisition Jambool may build up, but Google has yet to even figure out monetization of paid apps on its Android mobile [...]

Get the latest news in your inbox
interested in advertising with inside social games?

Social Media Jobs
of the Day

Social Media Manager

Joe Fresh
New York, NY

Weekend Editor and Social Media Manager

Cinema Blend LLC
Telecommute, OR

Social Media Manager

The Culinary Institute of America
Poughkeepsie, NY

Web and Social Media Manager

Health Resources in Action, Inc.
Boston, MA

Online Social Media Manager

Chicago, IL

Featured Company

Join leading companies like this one and recruit from the nation's top media job seekers on the Mediabistro Job Board. Every job post comes with our satisfaction guarantee. Learn More

Our Sponsors

Mediabistro A division of Prometheus Global Media home | site map | advertising/sponsorships | careers | contact us | help courses | browse jobs | freelancers | content | member benefits | reprints & permissions terms of use | privacy policy Copyright © 2014 Mediabistro Inc. call (212) 389-2000 or email us