In yet another big move, VeriSign has acquired mobile content company m-Qube for about $250 million. m-Qube sells software and services for delivering digital content to mobile phones.  The acquisition was described as ‘net of cash’ meaning after cash already on hand at m-Qube.
In February, VeriSign bought Austrian company 3united Mobile Solutions ag (3united) for 55 million Euros. Last week, VeriSign had agreed to buy Kontiki, a Californian company that makes a digital video distribution system over broadband, for $62 million. Its latest move also comes close on the heels of an analyst report that called VeriSign’s mobile content business as a “disaster”. According to a report released early this month by American Technology Research analyst Albert Lin, VeriSign’s mobile content business is “looking like a disaster”. But VeriSign seems to be in an aggressive acquisition mode.
BizJournals: Mobile telephone carriers use M-Qube’s systems to deliver content to cell phones, with the company generating $84 million in revenue last year. The Watertown, Mass., company has disclosed $42 million in financing since its launch in 1998.
Red Herring: M-Qube CEO Jeff Glass will report to Mr. Jeff Treuhaft’s digital content services business unit. The two companies have been negotiating the deal for about two months, according to Treuhaft. He expects the deal to close within the next 30 to 45 days, depending upon regulatory approval.
M-Qube will continue to work out of its Watertown headquarters, as well as its other offices in Toronto, Canada, and throughout the United States.
Related:
—Analyst: Verisign’s Mobile Content Forays A Disaster; Needs To Sell Out
—VeriSign To Acquire 3united Mobile Solutions