Online vidgame media company IGN Entertainment is expanding its presence in the film space by acquiring review-compilation Web site Rotten Tomatoes.
No financials were disclosed, but deal has been in the works for several months and is reportedly worth about $10 million (Daily Variety, May 11).
Founded in 1998 by a film buff, Rotten Tomatoes has quickly grown into one of the Net's most popular independent movie sites, drawing more than 5 million unique users each month for its rating aggregations of films, DVDs and games.
Acquisition is part of a broader effort by IGN, formerly known as IGN/GameSpy, to expand its presence beyond gaming and become a comprehensive media resource for its core 18-34 male demographic.
"It's natural for us to broaden into other media," CEO Mark Jung said. "If you look at the statistics on our audience, they are avid film enthusiasts who don't strictly define their entertainment."
IGN will retain the Rotten Tomatoes brand, as well as its small staff, and invest resources to expand its offerings to include other film-related content such as trailers, screenshots and news. Some of the content will come from IGN's Filmforce Web site.
Deal is the fourth major acquisition by IGN in recent years, including its purchase of competitor Gamespy last year. Jung said the company will continue to expand via acquisitions and is still looking to strengthen its presence in the film space.
As it grows into an online media conglom, company's also considering going public.
