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Q3 game M&A strengthens for 4th straight quarter | Drake Star

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Q3 game M&A strengthens for 4th straight quarter | Drake Star


Gaming merger and acquisition (M&A) deal activity increased for the 4th straight quarter during the September period with $2.5B in disclosed deal value and over $1 billions raised in private financings.

Drake Star Partners reported in its quarterly gaming report that the market got a boost in part as public markets continued to recover, with the Drake Star Gaming Index of public game companies growing 10.2% for the first nine months of the year.

It also helped that the initial public offering (IPO) of Tencent-backed Shift Up surged almost 50% on its trading debut. It’s not exactly something to celebrate, as there are still some very tough times for the losers in the gaming industry now, with more than 32,000 layoffs in the past three years. Konvoy Ventures, which keeps its own separate quarterly data, sounded a similar note of greater optimism.

“We are thrilled to announce that M&A activities have continued to gain momentum for the fourth consecutive quarter. It’s also encouraging to see a rebound in the valuations of the top 30 listed gaming companies,” said Michael Metzger, partner at Drake Star Partners, in an email to GamesBeat. “This ongoing recovery in valuations is likely to further stimulate M&A activity in the future.”

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Metzger added, “So far this year, private equity firms have been the top buyers, and we expect to see more significant PE deals alongside smaller tuck-in acquisitions from companies like Jagex/CVC and Keywords/EQT. Additionally, we foresee several major divestitures of gaming divisions in the upcoming months.”

M&A activity

The top buyers of game companies in Q3 2024.

Still, it’s a ray of hope in at a time when investors crave good news. With 56 announced M&A deals and $2.5B in disclosed deal value, Q3 continued the strong uptick in M&A activity for the 4th straight quarter (70% growth in number of deals compared to Q3 last year).

Playtika’s acquisition of SuperPlay for $700 million at close ($1.95 billion including the full earn-out over time) was the largest deal of the quarter. Other notable acquirers included Tencent (Aojue Digital), Warner Bros. Discovery (Player First), Krafton (Tango Gameworks), Capcom (Minimum Studios), Keywords (Wushu Studios), Nazara (Fusebox, Deltias Gaming) and Infinite Reality (LandVault).

Private financings

Top private investments in game companies in Q3 2024.

Drake Star said $1.1 billion was raised in private financing through 181 deals, a notable growth in deal value, but the number of deals was similar relative to Q2. Large private financings included Infinite Reality ($350 million), Hybe ($80 million), Gcore ($60 million), Volley ($55 million) and Saber Interactive.

Drake Star said investors continue to invest primarily in seed / early-stage companies (over 90%). Blockchain gaming attracted about 32% of all investments and platform / tools about accounted for 23%. Funding for growth stage gaming studios continued to be challenging. In some previous quarters, blockchain games accounted for half of all fundings.

Andreessen Horowitz and Bitkraft were the most active large gaming VC over the last 12 months followed by Play Ventures. Early-stage gaming and consumer investor Patron has raised $100 million for its second fund.

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Tencent backed Shift Up had a successful IPO with stock surging around 50% on trading debut (raised $320 million), while India’s Nazara raised over $100 million in equity. Embracer Group refinanced its credit line ($652 million) and Kakao Games raised $198 million in bonds that are exchangeable for Krafton shares owned by Kakao.

With a gradual recovery in public markets, Drake Star Gaming Index grew 10.2% for the first 9 months of this year. Top performers were SEA, Konami and Krafton and laggers were Ubisoft, Corsair and Unity.

Outlook

Top investors in Q3 2024 for games.
Top investors in Q3 2024 for games.

M&A activity is expected to further strengthen for the rest of this year and next, continuing its strong growth over the last year, on the back of lowering interest rates and a gradual broader recovery in the public gaming market.

While Drake Star expects some large transformative deals from industry leaders such as Tencent, Take-Two, Savvy/Scopely and Playtika, the trend of strong growth in mid- to small-sized deal count will likely continue. With limited mid- or late-stage funding available, some gaming studios will choose an earlier exit and join a larger company.

Most active game investors in Q3 2024, part 2.

Private equity firms have been a major consolidator this year (CVC/Jagex, EQT/Keywords), and Drake Star expects more acquisitions and take-private deals led by financial sponsors. Drake Star also expects more divestitures of large gaming divisions.

For private financings, AI, mixed reality, platform and tools continue to be hot segments.

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As broader gaming markets continue to recover, Drake Star anticipates IPO-ready gaming companies to start exploring their listing ambitions in 2025.


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Project Helping Hands helps the long-term unemployed in games

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Project Helping Hands helps the long-term unemployed in games

Project Helping Hands is a new community-based initiative to help game industry job seekers who have been out of work or underemployed for more than a year.

Aiming to draw a spotlight for long-term job seekers in games, it’s a project led by Amir Satvat, the game job opening aggregator who has amassed a big following of 400,000 unique viewers on LinkedIn. (You can apply here).

“Our goal is to help long-term job seekers in games get the spotlight they deserve,” Satvat said in a LinkedIn post.

This effort could be a big deal for job seekers as Satvat has been able to help more than 2,800 people find jobs. Satvat is a “top voice” on LinkedIn for games and he has 101,000-plus followers. He has also amassed a lot of data about jobs in the game industry, which is regrettably not transparent about hirings and firings. More than 32,000 people have been laid off in games in the past three years.

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If you’ve been unemployed or underemployed for 12 months or more and have been seeking roles in games as part of your job search, this program is for you. You don’t need to have been exclusively looking in games, but it does need to be at least part of your goal, Satvat said.

He said that three times a week, he will spotlight up to 15 individuals looking for new opportunities.

Applicants can fill out a form, and Satvat will randomly select participants to feature along with a short bio you provide.

How it works

On his LinkedIn profile, Satvat has begun listed the profile details of 15 people each week who have been looking for work for a year or more. The post includes the name, function, years of experience, location, and whether the person is open to remote work.

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Satvat is accepting submissions through a Google form and each application must be complete. He will adjust the project as needed. Satvat started posting community member profiles on October 18 (here’s another one and another one).

The long-term unemployed?

Amir Satvat has helped 2,800 people find jobs in games.

It’s not clear how many people have been stuck looking for a job in games for more than a year. But Satvat’s data gives him insights on the issue of ageism in games.

He noted that for younger game job seekers — those with three or fewer years of work experience who have never worked in games — the chances of securing a role in the industry over 12 months are just 1% to 2%.

And, after two years of collecting data, Satvat said he knows that the odds of finding a role in games for those 50 and over are roughly the same.

While the overall likelihood of finding work in games over 12 months is around 7%, and this number rises to 20-25% for all who have previous experience in the industry, these statistics show a pronounced peak in opportunities for those in their late 20s and 30s, with meaningful decline by the time they reach their 40s, Satvat said.

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“We need to be much more aware of how challenging the odds become for those in our industry as they age,” Satvat said. “If we feel empathy for younger applicants locked out of opportunities, I’m equally raising my hand in solidarity for those with the most experience – because, numerically, I now know that, at some point, they face the same struggle.”

This new service to help those who are out of work for a long time will likely help those who are also subjected to ageism.


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A TikTok alternative called Loops is coming for the fediverse

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A TikTok alternative called Loops is coming for the fediverse

The fediverse answer to TikTok is on its way. Signups opened this week for Loops, a short-form looping video app from the creator of Instagram alternative Pixelfed, reports TechCrunch.

Users who’ve signed up can post up to 60 seconds of video, according to details shared by developer Daniel Supernault on Mastodon. He added that using sounds and remixing others’ videos is coming, as are pinned profile videos, and that users will be able to “curate” their comment sections. Videos can be categorized, but hashtags and mentions aren’t yet supported.

Creating an account isn’t instantaneous as you’ll have to wait for a confirmation email, which could take time, according to Supernault. Its iOS app will be available initially in TestFlight, Apple’s program for testing unreleased apps that requires a free developer account. Loops will also have a “side-loadable” Android app, Supernault posted.

Loops will rely on human moderators, which Supernault put out a call for on Mastodon. Videos posted to the site will be moderated based on a trust score that every local user has, Supernault posted. Videos uploaded by people with low scores will be held for moderation before they go live, while those from “trusted users” will be posted right away.

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Loops’ fediverse integration is in-progress but not live, and the platform hasn’t been open-sourced yet, according to a FAQ on the site. Users own their content, and Loops doesn’t sell or provide videos to third-party advertisers or train AI on them, the FAQ says. The site is instead relying on grants, sponsorships, and donations for funding. You can review the privacy policy here.

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NYT Strands today — hints, answers and spangram for Sunday, October 27 (game #238)

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NYT Strands homescreen on a mobile phone screen, on a light blue background

Strands is the NYT’s latest word game after the likes of Wordle, Spelling Bee and Connections – and it’s great fun. It can be difficult, though, so read on for my Strands hints.

Want more word-based fun? Then check out my Wordle today, NYT Connections today and Quordle today pages for hints and answers for those games.

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HP launches AI PCs EliteBook Ultra and HP OmniBook X- The Week

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HP launches AI PCs EliteBook Ultra and HP OmniBook X- The Week

HP is strongly vouching for AI PCs and has unveiled two new laptops targeted at large enterprises, startups, and retail consumers. The newly launched laptops include the HP EliteBook Ultra and HP OmniBook X, being HP’s first Copilot plus PCs. 

Both laptops are designed and engineered around the Snapdragon X Elite processor and its Neural Processing Unit (NPU)6, which have the capability of 45 trillion operations per second (TOPS) that can run language models and generative AI locally on the device. 

Representatives at HP say that the innovations in their new offerings are designed to enhance work efficiency, boost security, and offer personalized experiences for hybrid work styles. 

“We are unveling our AI PCs in India with the HP EliteBook Ultra and HP OmniBook X. These AI PCs are designed to create more personalized and meaningful user experiences. By integrating advanced AI capabilities, we are making technology smarter, more intuitive, and more responsive to individual needs,” remarked Vineet Gehani, Senior Director Personal Systems, HP India. 

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HP OmniBook X

HP OmniBook X

The EliteBook Ultra has AI capabilities and has one of the thinnest designs in its class. This model also has enterprise-grade endpoint security to safeguard data, in order to safeguard against sophsiticated cyberattacks.  On the other hand, the HP OmniBook X is designed specifically for retail customers including creators and freelancers and has advanced AI features, which has the capability to improve video quality and collaboration experiences. It is very well suited for tasks such as video editing, graphic design, and remote meetings. 

Interestingly, the new HP AI laptops come with built in HP AI Companion, a personal AI-assistant for enhancing productivity and creativity. With this, the users will be able to experience a personalized approach using generative AI to analyze and assess personal files to get more refined, focus responses or outputs. These models also have Copilot+ which will help in creating a more personalised and powerful computing experience. 

Besides these the Poly Camera Pro in these laptops will enhance virtual interactions across all collaboration and streaming apps across multiple cameras. Poly Camera Pro uses the NPU to power AI enhancements like Spotlight, Background Blur and Replace, Auto Framing, and more, allowing the CPU to maintain performance more efficiently while preserving battery life. 

Both the HP EliteBook Ultra and HP OmniBook X weigh 1.3 kgs and offer up to 26 hours of battery life. The HP Elitebook Ultra is available in HP World Stores and HP Online stores at a starting price of Rs 1,69,934 in Atmospheric blue colour and the HP OmniBook X is available in HP World Stores and HP Online stores at a starting price of Rs. 1,39,999 in Meteor Silver colour. 

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NYT Crossword: answers for Sunday, October 27

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NYT Crossword: answers for Monday, September 23

The New York Times has plenty of word games on its roster today — with Wordle, Connections, Strands, and the Mini Crossword, there’s something for everyone — but the newspaper’s standard crossword puzzle still reigns supreme. The daily crossword is full of interesting trivia, helps improve mental flexibility and, of course, gives you some bragging rights if you manage to finish it every day.

While the NYT puzzle might feel like an impossible task some days, solving a crossword is a skill and it takes practice — don’t get discouraged if you can’t get every single word in a puzzle.

If you’re having trouble completing today’s NYT Crossword, we’re here to help. We’ve got all the answers for today’s clues down below.

NYT Crossword answers today

New York Times Crossword logo.
New York Times

Across

1 Hotel room staple : TVSET

6 “Hound Dog” singer Big ___ Thornton : MAMA

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10 Freshly pressed grapes before fermentation : MUST

14 Way : ROUTE

15 Reality show winner since 2002 : IDOL

16 Bridge piece : IBAR

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17 Spotted, in a way : ACNED

18 Meaning of a finger wag : NOPE

19 Zip : NONE

20 People to hang out with : PALS

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21 Mood : VIBE

22 Fish whose egg casings are called “mermaid’s purses” : SKATE

23 Oslo Accords signatory, for short : PLO

24 Fail to tail : LOSE

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25 Not spent anymore : RESTED

26 Two-time Oscar nominee Joan : CUSACK

28 Go no further : HALT

29 “We’ll let ourselves in” : DONTWAITUPFORUS

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34 Medical breakthrough of 1954 that yielded a Nobel Prize : ORGANTRANSPLANT

35 Masters of bad impersonations? : IDENTITYTHIEVES

36 Pub fixtures : LOOS

37 Takes root : SETSIN

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38 Incite : URGEON

41 Tony winner Judith : IVEY

42 Letters on a Busch Stadium hat : STL

44 She played Julia in 2009’s “Julie & Julia” : MERYL

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45 Cut and polish, maybe : EDIT

46 Big bird : RHEA

47 Two shakes : ASEC

48 Spin out on the ice? : AXEL

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49 Reasons for some street closures : FAIRS

50 In ___ (unmoved) : SITU

51 Birthstone that begins with the same letter as its month : OPAL

52 “ER” actress Laura : INNES

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53 Go berserk : SNAP

54 Slim winning margin : NOSE

55 Quite the party : BIGDO

Down

1 Name on the playbill for the 1936 Salzburg Festival : TRAPP

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2 One of a singing duo? : VOCALCORD

3 Solarium : SUNLOUNGE

4 Périodes chaudes de l’année : ETES

5 With 43-Down, fictional coach of AFC Richmond : TED

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6 Skimpy garments : MINISKIRTS

7 Building block : ADOBE

8 Brood : MOPE

9 Drink mentioned four times in the prologue of “The Canterbury Tales” : ALE

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10 Deluxe wraps? : MINKSTOLES

11 Menace in “Dead Wake: The Last Crossing of the Lusitania” : UBOAT

12 “À votre ___!” : SANTE

13 Out on a limb, say : TREED

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21 Calling : VOCATION

22 Something to wallow in : SELFPITY

24 Spade, for one : LAWNTOOL

25 Naughty list? : RAPSHEET

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27 Vessel that hasn’t crossed the Canadian border since 1993 : STANLEYCUP

28 The so-called “Rocket City” of the South : HUNTSVILLE

29 Emphatic agreement : DOI

30 When doubled, a pop nickname : TAY

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31 Gorgeous : RAVISHING

32 Not yet explored, as a tomb : UNENTERED

33 Map abbrs. : STS

38 Where Dr. J played college hoops, for short : UMASS

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39 Amber, e.g. : RESIN

40 Van Susteren of TV news : GRETA

41 They might be bright : IDEAS

43 See 5-Down : LASSO

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45 National, formerly : EXPO

46 Asian royal : RANI

48 Chicago’s ___ Center, formerly known as the Amoco Building : AON

49 Small invention : FIB

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Samsung Galaxy S25 Ultra is getting several display improvements

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Samsung Galaxy S25 Ultra is getting several display improvements

After a few years of resting on its laurels, Samsung might be shaking things up a bit for its 2025 Galaxy smartphones. Recent reports suggest that the Galaxy S25 series could bring major changes to some key components. For instance, the Galaxy S25 Ultra would boast several display improvements over its predecessors.

Samsung is a giant conglomerate whose divisions are involved in multiple segments of the tech industry. The company has a wealth of experience in the panel segment thanks to the work of Samsung Display. Many big Android brands, and even Apple, turn to Samsung panels for their flagship and premium devices. This results in the displays on Galaxy S models consistently offering impressive image quality.

Samsung Galaxy S25 Ultra may adopt M14 display material with multiple improvements

Now, reliable tipster Ice Universe said on X that the Galaxy S25 Ultra will have multiple display improvements. According to the source, the South Korean giant would adopt a new-gen M14 OLED material. The change to a new-generation base material usually means better image quality and less power consumption. For the Galaxy S25 Ultra, it would translate into improvements in “brightness, viewing angle, screen color accuracy, and many other aspects,” the post states.

For reference, Samsung’s M14 OLED display boasts 30% more brightness and 20% lifespan gain compared to the M13 generation. The first devices to use the M14 material were the iPhone 16 and Pixel 9 series. Unfortunately, there are no more specific details on those “many other aspects” that will receive improvements. However, it seems that the company is determined to take the image quality of its next premium smartphone to a new level.

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No more grainy effect issue reported by Galaxy S24 Ultra users

Since the tipster explicitly mentions the Ultra model, it’s possible that the vanilla and Plus Galaxy S25 models will feature displays similar to the current models. Earlier this month, the same source revealed another improvement to the Galaxy S25 Ultra’s display. Several users of the current Galaxy S24 Ultra complained about a noticeable grainy effect under certain usage conditions. Well, Ice Universe said that this problem won’t be present on the 2025 Galaxy Ultra phone.

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