Disney To Buy Playdom for $563 million

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According to a press release today, the Walt Disney Company has agreed to acquire Playdom Inc., one of the leading
companies in the fast-growing business of online social gaming for $563 million plus an earn out of up to $200 million more.

According to the release, in just two and a half years of operation, Playdom has established itself as
a pacesetter in building popular games for social networks enjoyed by consumers
around the globe. Through well-known titles like Social City, Sorority Life,
Market Street
and Bola, Playdom engages an estimated 42 million
active players each month.

Disney President and
CEO, Robert A. Iger stated:

“We see strong growth potential in bringing together Playdom’s talented team
and capabilities with our great creative properties, people and world-renowned
brands like Disney, ABC, ESPN and Marvel.” said Robert A. Iger, President and
CEO, The Walt Disney Company.

This deal is just the latest in what has been a rapidly growing and evolving industry segment.