Posted on 20-Mar-2006 22:29
Filed under: News
VeriSign, Inc. has signed a definitive agreement to acquire m-Qube, a mobile channel enabler that provides the infrastructure needed to develop, deliver and bill for mobile content, applications and messaging services.
The company says the acquisition of m-Qube complements the recently acquired 3united and Kontiki, extending VeriSign's digital content platform to enable carriers, Internet portals, media companies and consumer brands to provide the delivery of mobile and broadband services.
m-Qube participates in the delivery of premium messaging and content services, with the potential to reach more than 200 million wireless subscribers in North America. The company's application platform powers the mobile storefronts and marketing campaigns for customers including Sony Pictures, CBS, Major League Baseball Advanced Media, Warner Music Group, Reuters, GQ, Virgin Mobile Canada and Telus Mobility.
In February 2006 VeriSign acquired 3united, a wireless applications service provider that counts SingTel, Hutchinson3G, Mobilkom/Vodafone among its customers. Earlier this month, VeriSign acquired Kontiki, which provides managed peer delivery systems for high-quality video and digital content. Leading media and network companies such as AOL, BskyB and Verizon are using the Kontiki platform to distribute on-demand multimedia services to personal computers.
m-Qube, based in Watertown, Massachusetts, is privately held with 200 employees across North America. The acquisition price is US$250 million dollars net of cash. The transaction is being accounted for as a purchase transaction and is expected to close in the second quarter of 2006. VeriSign expects the transaction to be neutral to earnings for the remainder of 2006 and will provide updated financial guidance following the closing.