Digital River acquires fatfoogoo

E-commerce solution provider Digital River has acquired in-game and online commerce service provider fatfoogoo.

Digital River has previously provided e-commerce solutions to companies including Sega, Capcom and THQ, who have used its technologies to create their own online shops.

Austrian company fatfoogoo will now combine its own technologies with Digital River, to create a single e-commerce solution. The company previously integrated its microtransaction software with Project Darkstar, the open source development environment created by Sun Microsystems

The combination of the two companies will now be able to offer in-game store functions including global payments and inventory management, virtual goods and currencies, electronic wallets, peer-to-peer marketplaces and online auctions.

"With the addition of fatfoogoo, we've strengthened our commitment to the gaming marketplace," said Joel Ronning, CEO of Digital River. "We believe the combination of our in-game and in-store commerce solution along with our subscription management capabilities will be unmatched in the industry."

"This acquisition provides fatfoogoo with the backing of a proven e-commerce leader and enhances our leadership in the European market,” said Martin Herdina, CEO of fatfoogoo. "Together we’re positioned to lead the future of in-game commerce with a solution that will uniquely stand out in a competitive marketplace."

Digital River acquired fatfoogoo via a cash transaction worth approximately $10 million. The agreement also gives fatfoogoo shareholders an earn-out opportunity based on the fatfoogoo business unit achieving certain performance targets.