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EA/Jamdat - Europe is the prizeEA/Jamdat - Europe is the prize

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The ramping up of European market share was a key driver in the merger of EA and Jamdat, say insiders.

Put simply, Jamdat has struggled in Europe but it does have widespread and longstanding relationships with operators. Conversely, EA has dozens of Europe-friendly products ready to go but no real history.

"I think the deal suits both sides really well," a former Jamdat exec told ME. "Jamdat has four years experience and 70 operator agreements in Europe but product-wise it's very US-centric. EA has got the products: it's buying know how."

While Jamdat  is a dominant force in the US, it has struggled to make the same impact across the Atlantic. Signature titles such as Jamdat Bowling and Bejewelled have failed to replicate their domestic success overseas.

Materna

In the nine months to September 2005, Jamdat's international revenues actually fell from 20 per cent to 16 per cent of the total.

EA does have European-friendly titles such as FIFA Soccer and Need For Speed. It's Jamdat's footprint - 80 operator agreements in 40 countries - and on-the-ground nous that EA has paid $680m for. Well, that, and Tetris.

EA formally launched its mobile operation earlier this year. It has just released signature title  The Sims 2. Prior to the Jamdat deal EA pledged to bring 25 titles out by the end of 2006. This roster is now expected to double.

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