Habbo bets on open platform, iPhone app for growth

[xxMATTGxx]

I know this isn't everyone's cup of a tea but I found it when searching for Sulake and Habbo news articles via Google.

Finnish internet company Sulake, the operator of Habbo Hotel teen networking sites, hopes to reignite its stalled growth by launching a long-awaited iPhone app next month and inviting external developers to its site.

Habbo Hotel was one of the front-runners of the social networking boom, and its use of avatars instead of profile pictures gained a strong teenage following after its launch ten years ago.

But its strict monitoring policy, while reassuring parents, has turned off many teenagers who prefer the freedom of sites like Facebook .

Its layout, reminiscent of classic videogames, hasn't helped growth either, and the number of monthly active users has been unchanged at around 8 million for the last five years.

U.S. research firm Business Insider last year valued the company at $300 million, compared with the $1.25 billion valuation it gave the firm three years earlier.

Sulake Chief Executive Paul LaFontaine said an iPhone app was due within a month, and a version for Google's Android would follow.

LaFontaine, who joined the company last year, also said Habbo's first game d eveloped by an external gaming firm was due to be launched by British studio Remode in July.

Partnerships with gaming studios like Remode were the main focus of a new strategy as they helped to create new, attractive content for the service for little additional cost for Habbo, he said in an interview.

"Through this we can offer more content to a demographic that loves content," he said.

Sulake generates revenues from small payments via credit cards and mobile phone text messages for items such as virtual furniture, but the core service is free.

LaFontaine said lower costs would enable the company to open new local services in Turkey, Poland and Indonesia in coming months.

Sulake's owners include Finnish advertising agency Taivas, which is partly owned by Britain's WPP , as well as venture capitalists, telecom operator Elisa and Japan's Movida Group.

Sulake was looking at going public before the financial crisis, but has recently said it would take years to reach that goal.

Before joining Sulake LaFontaine was responsible for publishing Disney's Playdom games on global social networks and has held senior manager roles at eSolar and Ticketmaster.

http://www.moneycontrol.com/news/wir...th_709108.html

Interesting read.

[:odey:]

An integrated iphone app would be great,

But I really do think that if prices were only slightly slower, like they were 3/4 years ago, I think profits would rise dramatically again..

[Pigperson]

I think an integrated iPhone app would be great although it depends on what you can do on it.

Will

[auffant1]

Hopefully if an iPhone app is released an Android one released too . I think it would be great as long as it isn't too expensive .

[Mathew]

The game would be sooooo slow on a mobile device, imo. I'd probably get it on my iPad to see what it's like, although I think it would be far too difficult to play effectively.

"LaFontaine said lower costs would enable the company to open new local services in Turkey, Poland and Indonesia in coming months."
They merge the largest hotels then decide to open three more. Do you think there's a large market in Turkey, Poland and Indonesia for this kind of thing?

[jasey]

The game would be sooooo slow on a mobile device, imo. I'd probably get it on my iPad to see what it's like, although I think it would be far too difficult to play effectively.

"LaFontaine said lower costs would enable the company to open new local services in Turkey, Poland and Indonesia in coming months."
They merge the largest hotels then decide to open three more. Do you think there's a large market in Turkey, Poland and Indonesia for this kind of thing?

It's a gamble. Countries like that are starting to come in to the internet like we were when Habbo was growing so they aren't as desensitised to games like Habbo as we are in 2012. It is something new and exciting for those markets — something previously unavailable in their languages — so it could work. I am not so sure, though. I don't know enough to make a very educated guess.

[Memorilla]

I used to always want a Habbo app but now that I think of it, I probably wouldn't use it. As others have already mentioned it would be wayyy too laggy and I most likely wouldn't enjoy it as I can't play it to its full extent like I would on a computer.

[..:lukeachu:..]

Wow! I think an iPhone app for Habbo would be brilliant! I can't wait (if its true) though it may be a bit laggy but who cares!

Luke

[lawrawrrr]

Ooooo nice idea! I really don't think it'll do much though, probably just be a console thing really

[Seikou]

it sounds interesting, i'll give it a go but it could be really laggy.