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$50 Million Kabam Fund to help Asian Game Developers Generate Revenue in Western Markets

April 16, 2013

Industry Leader to Help Developers Potentially Double Their Revenue

SAN FRANCISCO, Calif.—April 16, 2013—Kabam, the leader in the western world for free-to-play core games, today announced the establishment of the $50 million Kabam Western World Developers Fund (“WWDevFund”) that will enable third-party game developers in China, Japan and South Korea to take advantage of Kabam’s industry-leading monetization and marketing expertise to expand their games to North American and European markets, potentially doubling their revenue.

The Kabam WWDevFund is designed to help the best game developers in China, Japan, South Korea and other countries overcome the significant barriers to western market penetration, especially the profusion of competitors on iOS, Android and Web platforms. Headquartered in San Francisco, California, and with offices in Beijing, Kabam is one of the fastest-growing companies in the free-to-play market. The company currently has seven games that gross more than $1 million a month—including two that gross more than $7 million and another two grossing more than $3 million a month. Kabam’s games are localized into 13 western languages and played in more than 100 countries; among its games is Kingdoms of Camelot, a $200 million global franchise that was the top-grossing iOS app for all of 2012 and is the seventh highest grossing strategy franchise of all time.

“No one needs to give game developers in China, Japan, and South Korea lessons on how to create great gaming experiences, but they do need help localizing and marketing their games in the western world,” said Kabam Co-Founder and CEO Kevin Chou. .“Our success at Kabam gives the best developers worldwide much confidence that we can help expand to parts of the world they would not otherwise easily reach. The sophistication of the proprietary analytics Kabam uses to attract and retain western players exceeds anything else in the industry. It’s one of the main reasons Kabam monetizes its games at eight times the rate of our largest U.S. competitor.”

Marketing is a significant part of Kabam’s successful approach to gaming. The budgets for Kabam’s most popular titles exceed $1 million a month. That considerable marketing muscle, part of the Kabam WWDevFund, helps promote games on the Apple, Google, and Facebook platforms, and also leverages Kabam’s strong relationships with European distributors such as ProSieben, the second largest media company in Germany. Cross-promotion with Kabam’s highly monetized games, which include some of the highest grossing apps on iOS, Android stores, and the Web, is a further draw for developers.

The Kabam WWDevFund is targeted at the best Asian developers with experience in top grossing free-to-play games and an active interest in reaching players in western markets. While it can be tapped via up-front licensing fees that would allow developers to finish work on a promising game, the WWDevFund’s primary purpose is to expand the marketing effort behind top grossing titles in Asia.

In tandem with the Kabam WWDevFund program, Kabam will make available its considerable expertise with crucial development issues such as accelerated learnings of western monetization strategies and shared best practices for discoverability, culturalization, community management, and localization for western players.

While Kabam has strong in-house game development teams, it also has extensive experience working with third-party publishers. Fifteen current Kabam titles were developed by outside partners, and games such as Wartune already gross more than $1 million a month.

Chou said that third-party developers who work with Kabam stand to gain significantly—learning about western players with almost no additional investments—without sacrificing their business or creative independence. Concrete marketing commitments are based on mutually-established revenue goals.

“Kabam is committed to the ongoing success of its third-party developers,” Chou said, adding that interest in the Fund is already considerable and expects it to be depleted by September. Developers who are interested in applying for the program may contact Kabam at http://corporate.kabam.com/contact/ (Third-Party Publishing) or by emailing publishing@kabam.com.