A highlight from Redeye’s latest update:
“On this note, we also see existing industry players intensifying their efforts in the space. For instance, Digital Turbine, a US-listed platform company that Flexion Mobile partnered with in March 2023, disclosed its intention to allocate more capital in this space to capture future growth opportunities while referring to its partnership with Flexion in its recent earnings call. Furthermore, in addition to alternative app stores for game distribution, Digital Turbine underscores the significance of direct distribution, a territory that rumors suggest Meta is also exploring. This involves users downloading a game directly through an ad, presenting an additional dimension and complexity that Flexion can take advantage of. As the distribution of games becomes more complex, the value proposition of Flexion’s solutions increases. Once again, this underscores Flexion’s potential for enhanced value and profitability as the gaming distribution landscape evolves in complexity.”
That Digital Turbine partnership was already announced in 3/2023, but at the time I didn’t quite grasp what it was all about. After reading this, it’s starting to look like there could be a major disruption underway in mobile game distribution that doesn’t rely solely on alternative app stores. The text also mentions that Digital Turbine has increased its stake in Aptoide (an alternative Android app store), which suggests that investing in Flexion could also be on their agenda. The company’s market cap is just over $500M, but it is heavily indebted and loss-making, which lowers expectations regarding investments.