UTV eyes Rs 4 bn from gaming & new media biz in FY'11

MUMBAI: Ronnie Screwvala-promoted UTV Software Communications has found that the gaming business can be wrought with delay in projects. But the turnaround could come this fiscal as the company prepares to release its products in the year.

UTV is eyeing Rs 500 million and ebitda margins of 10-15 per cent from its mobile games division, carried out through UTV Indiagames.

UTV Indiagames has the exclusive right for the franchise for IPL Mobile games. It also claims to be the only online subscription games platform with games on demand (GoD) and has tie ups for game channels on DTH in India.

The company has set up a cost efficient studio in Vashi, Mumbai, to create games and it believes that it is poised to capture opportunities for 3G and 4G in India.
On the online games front, UTV claims to have four games on the floor. UTV expects to post a revenue of Rs 400 million and have operating margins of 15 per cent, the first year of revenue from its online games division.

Online Games has a creative studio in Austin, Texas, and a backend outsourcing in Beijing, China.

The first game to release in July/August will be Mytheon. The MMOG multiplayer platform in the US has been built and is owned by UTV to earn revenues through micro transactions on online games in the US. Furthermore, the company‘s model is to pre-sell/ sell Games to the rest of the world through upfront license fees on minimum guarantees. For Mytheon, the process of presale has already begun.

As far as console games is concerned, UTV expects to get a revenue of Rs 3 billion, largely driven by release of their own developed game El Sheddai. This includes around Rs 1 billion from the existing publishing business.

No pre-sale revenue of the IPs to publishers or others has been considered as of now, UTV said. On this revenue base, the company is envisaging a 20 per cent Ebitda margin.

Next year, the company will have its own IPs ready for release along with the 3 Big IPs - El Shaddai, Reich and War Devil. The company has created these on multi platforms - PS3 and Xbox 360 and later can go on more platforms including PC.

The vertical also has two smaller IPs - Hells Cook and Dragons Crown.
UTV said that over the next six months it will be actively negotiating a combination of (a) publishing deals for one or more game in one or more territories globally for a license fee / minimum guarantee (b) co-production deals for pre-release of a game. (c) Investment into one of its three studios based in London/ Florida/ Tokyo along with the IP of that studio.

The Company is also in discussions with Sony (PS3) and Microsoft (XBOX) for publishing and/or distribution rights for its IPs.

UTV said the final dates of release would be locked, based on the final outcome of the publishing/ co production deals. "We envisage at least one of three major IPs releasing in this calendar year - even though we may have pre-sold the others. We predict our publishing business to meet targets based on the titles blocked for release during 2010-11," it said.

From the New Media segment, the company is expecting to generate a revenue of Rs 300 million with marginal profit in FY ‘11. The New Media business of the company includes mobile and web business.

"Overall and on an annualised basis for games content and new media businesses, we see a revenue base of around Rs 4 billion," the company said.

Media analysts are treating UTV‘s guidance with a lot of caution as no pre-sale revenues have been announced yet.

Latest Reads
Livestreaming App SWOO sees momentum in India; Launches Trivia Format in India

SWOO, a leading global livestreaming platform established in Middle East, today announced the launch of its SWOO TRIVIA SHOW – a celebrity hosted live video streaming game show for Indians. SWOO is a user friendly, engaging and feature-rich live broadcasting app available across Android/ iOS/ Web...

Technology Software Applications
TiVo exits STB business

MUMBAI: TiVo is exiting the manufacturing, sales and distribution of set-top boxes to a yet-undisclosed third party, the company has said.

Technology Hardware Set-top Boxes
IET India IoT Panel joins hands with exhibitions india group for the 3rd edition of IoT india congress

IoT India Congress is India’s Platform of Platforms for the Internet of Things conceptualized by IET India IoT Panel, a think tank constituted by the Institution of Engineering and Technology (IET) India. The 3rd edition of IoT India Congress will be hosted in collaboration with India’s leading...

Technology Software Firmware
Tata Elxsi's Automation suite adopted by pan-European Media and Telecommunications Company

Tata Elxsi, a global design and technology services company, announced the licensing of its integrated test automation and monitoring suite ‘FalconEye’ to a pan-European media and telecommunications company for OTT automation and improving streaming performance.

Technology Software Firmware
Verimatrix recognized for contributions to latin american Pay-TV market with PRODU award win at NAB Show

LAS VEGAS: Verimatrix, a specialist in securing and enhancing revenue for network-connected devices and services, has received the PRODU Award for Best Pay-TV Technology Contribution on behalf of its MultiRights™ OTT solution. MultiRights helps service providers effectively navigate the modern OTT...

Technology Software Firmware
Amagi debuts machine-learning powered content-preparation suite

Amagi, a cloud-based technology provider for media processing, has launched Tornado, a machine learning-based content preparation service that enables TV networks and content owners to scale their operations and accelerate broadcast workflows.

Technology Hardware Components
Sharp and TiVo extend interactive program guide deal to power content Discovery across entertainment devices

MUMBAI: TiVo Corporation (NASDAQ: TIVO), a global leader in entertainment technology and audience insights, today announced that Sharp Corporation will further utilize TiVo’s G-Guide HTML across Sharp 4K smart TVs and Ultra HD Blu-ray recorders in Japan, TiVo’s G-Guide xD app and remote schedule...

Technology Hardware Components
HARMAN announces Priyanka Chopra as global brand ambassador

HARMAN International, a wholly-owned subsidiary of Samsung Electronics Co., Ltd. focused on connected technologies for automotive, consumer and enterprise markets, today announced that actress, singer, producer and philanthropist Priyanka Chopra has been named a global brand ambassador for the...

Technology Hardware Components
Etere HSM expands interoperability with Grass Valley

Etere HSM features an integration with Grass Valley that improves interoperability, streamlines connectivity, enables faster content processing and includes deep archive capabilities. Etere introduces a new integration layer between Etere Hierarchical Storage Management (HSM) and Grass Valley...

Technology Hardware Components

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories