It has been widely publicized that console game publisher Majesco Entertainment, creators of popular Zumba games like “Zumba Fitness World Party” and other console games like “Phineas & Ferb: Quest for Cool Stuff” recently purchased online gambling websites Orid Media and Pariplay.
After the purchases, Majesco created a new company called GMS Entertainment. These moves come on the heels of a drop in the revenue Majesco saw from its’ console game sales.
In an article on NJ.com by Stacy Jones, it is noted that Majescos’ Xbox and Wii game sales dropped from the second quarter of last year to the second quarter of this year, not just in the revenue those games earned but in the percentage it added to the company’s total revenue.
The changing landscape of console games and the emerging profitability of online gaming has brought Majesco on-board for the venture.
A quote from Majesco’s senior vice president and chief financial officer, Michael Vesey, included in the Jones article, hints to the direction they may want to take GMS Entertainment: “The big players in the casino business and lottery business, you could try to muscle it out with them and take their position. The other way to go about it is that now they’re facing this transition for internet gaming, they need partners with expertise. That’s where we see possibilities.”
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