GameTap Sold to Metaboli

With so many new digital download services coming online, like Stardock's Impulse and Good Old Games, it was inevitable that, at some point, the fledgling DLC industry would have to turn to consolidation to create more profitable and widely available services.

Turner Broadcasting System is announcing that it has reached a deal with Metaboli aimed at transferring the GameTap service that it owns to the Paris-based company. The actual move will only take place in early 2009, with the service now entering a period of transition during which all aspects of its activity will be scrutinized.

Metaboli will assume direct management of the business and brand at the end of the transition period while Turner will become an equity investor in the resulting merged entity. The plan is that GameTap will remain a distributor of games aimed at the North American market and Metaboli will continue to expand its European operations while seeking possibilities to expand into Asia and other territories.

At the moment, GameTap is offering around 1,300 videogames for gaming consoles and for the PC. There are also some arcade titles on sale and the whole service is supported through subscriptions and advertising. Initially, GameTap also had an editorial division, but it was closed down in June, as Turner decided to sell the whole service.

Stuart Snyder, who is the president of the Animation, Young Adult & Kids Media at Turner, stated that “Our priority for all of our networks and businesses is growth. Partnering with Metaboli significantly enhances GameTap’s growth prospects by leveraging our respective strengths... There’s upside here for everyone, but especially for gaming enthusiasts around the world”.

Pierre Gaudet, who is the Chief Executive Officer of Metaboli, also said that “The addition of GameTap provides us a foothold in the U.S. market; valuable content and an established brand that integrate well with our existing operations; and a partner with whom we are honored to be in business”.