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Friday, February 15, 2013

Mobile browser companies merge as Opera acquires Skyfire

Opera Software, best known for its PC and mobile web browsers, has acquired California-based rival Skyfire Labs.

Skyfire offers consumers a mobile browser that can handle Flash Video and a variety of other video formats. These iOS and Android apps have been downloaded more than 20 million times worldwide. In addition, its ‘Rocket Optimizer’ software can be used by mobile operators to reduce the size of video and other multimedia material when mobile bandwidth is under demand.

Lars Boilesen, CEO of Opera Software, said “Opera and Skyfire are a natural fit. Both companies have evolved far beyond their browser roots. Skyfire adds capabilities to our portfolio around video, app optimization, smartphones and tablets, and strength in North America. With video expected to consume over two-thirds of global mobile bandwidth by 2015, and as time spent on Android and iOS apps explodes, we are excited to extend Opera’s solutions for operators.”

Skyfire will become a wholly-owned subsidiary of Opera but will remain as a separate business unit and will continue to develop and support its own browser. Jeffrey Glueck, CEO of Skyfire, will become Executive Vice President of the Operator Business for Opera while remaining as CEO of Skyfire.

The deal is worth an initial $50 million with performance-based payments over the next three years that could bring the total amount to $155 million. It’s expected to be completed by mid-March.

[Skyfire blog]

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