14 DAY TRIAL // Jambool has confirmed that it has been acquired by Google, after the rumor broke out earlier this week. Google bought the company for its Social Gold virtual currency platform which, most likely, it plans to build into the social gaming/networking platform it is rumored to be working on.
“We are excited to announce that Jambool is becoming a part of the Google family today,” Vikas Gupta and Reza Hussein, Jambool founders, wrote.
“Our vision is to build world-class products that help developers manage and monetize their virtual economies across the globe. When the opportunity arose to join forces with Google to execute against this vision, we couldn’t pass it up,” they said.
“We are thrilled to bring the Social Gold platform to Google’s global users. And we invite you – our customers, partners, and friends – to continue on the journey with us,” they added.
The financial details of the transaction have not been revealed, but rumor says that Google ended up paying about $70 million for the startup, not a small amount, but drop in the bucked for Google. The company has about $30 billion in cash.
While Google hasn’t said much, it’s pretty much a given that it is working on a Facebook competitor. Based on its recent string of acquisitions and previous rumors, it’s clear that games will be a very big part of the venture.
Google recently acquired Slide, a social gaming and apps company, for a rumored $182 million. It is also said to have invested at least $100 million in social gaming powerhouse Zynga.
While neither of the companies has confirmed the investment, they have said that some announcement, which will likely include a partnership of some sort, is coming. The reason why social gaming companies, especially Zynga, have been growing so fast recently is the popularity of virtual items which are bought with, you guessed it, virtual currency.