Warner Bros. and MGM invest in Kabam
Warner Bros. Entertainment and Metro-Goldwyn-Mayer Studios today revealed that they have partnered to make an investment in social mobile game developer Kabam, joining other investors like like Google Ventures, Intel and Redpoint Ventures.
Correction: We originally wrote that Google was an investor in Kabam. That was incorrect and should have been noted as Google Ventures.
Details about the investment haven’t been revealed, but Warner Bros. Home Entertainment President Keven Tsujihara and MGM CEO Gary Barber will join Kabam’s board of directors as (respectively) a member and observer.
The investment adds yet another layer to the relationship between Kabam and Warner Bros. Recently, the two groups announced a partnership to release The Hobbit: Kingdoms of Middle-Earth for mobile devices. The title hasn’t achieved the same success as Kabam’s flagship mobile title Kingdoms of Camelot: Battle for the North, but it is the No. 13 top-grossing mobile app on Google Play and one of the Top 25 grossing games in iTunes. Meanwhile, Kabam is releasing The Hobbit: Armies of the Third Age on the web early next year.
Warner Bros. has been starting to step up and show an active interest in the social games market. Aside from partnering with Kabam, the company entered a licensing agreement with Spooky Cool Labs for its Wizard of Oz game and other unspecified titles. Until now, Warner Bros. hasn’t had much to show amongst social/mobile games for the past couple of years (despite deciding to focus Warner Bros. Montreal on those kinds of titles). This latest move shows the company is becoming increasingly focused on these types of games.