Tripledot Studios Purchases AppLovin's Mobile Gaming Division for $800 Million

In a major move, Tripledot Studios has finalized the purchase of AppLovin's gaming portfolio in a deal worth $800 million. This acquisition will see Tripledot Studios expand its operations significantly, particularly in key markets such as the US and Asia, with the addition of 10 new studios. The terms of the deal include a 50/50 split between cash and equity, with AppLovin taking on a minority stake in Tripledot Studios. The acquisition is expected to be completed by the summer of 2025, subject to approval from regulatory bodies. Following the acquisition, Tripledot's user base is anticipated to reach 25 million daily users, with projected annual gross revenues nearing $2 billion. This move comes after AppLovin announced its plans to divest its gaming operations back in February. The studios that will be joining Tripledot as part of this deal include Athena, Belka, Clipwire, Leyi, Lion Studios, Machine Zone, Magic Tavern, PeopleFun, Zen Life, and Zero Gravity. It's worth noting that in April, AppLovin underwent a round of layoffs, with 97 positions being eliminated, and a former employee suggested that a significant portion of Machine Zone's operations had been shut down. Lior Shiff, co-founder and CEO of Tripledot, expressed his enthusiasm for the acquisition, stating, 'Our goal is to become the world's most successful mobile game studio. Acquiring AppLovin's gaming portfolio is a significant step towards achieving this objective, as it transforms us from a high-performing challenger to a global leader. This acquisition provides us with additional scale, diversification, and access to top talent worldwide. We're excited to welcome these exceptional teams to the Tripledot family.' Adam Foroughi of AppLovin also commented on the deal, saying, 'At our core, we've never been game developers. Lior and his team are among the best in the business, and I have every confidence that they are the ideal partners to help these studios flourish moving forward.' A key benefit of this acquisition, according to Tripledot, is the diversification it brings, ensuring that no single game in their portfolio will account for more than 10% of their revenue.