Redmond, Washington — The Redmond, Washington, software major Microsoft Corp. on Thursday announced plans to acquire “BigPark Inc.,” a fledgling interactive online video gaming company based in Vancouver, and co-founded and partly owned by Don Mattrick, the executive who runs Microsoft’s video-game business.
Microsoft, in a statement, said the Vancouver-based video game maker will be merged with Microsoft Game Studios, based in Redmond, Wash., “where the team will continue development on an exclusive Xbox 360 game.”
BigPark Inc., which is staffed by veterans from Electronic Arts Inc., will give Microsoft control of a new game that BigPark is developing exclusively for the company’s Xbox 360 game console.
Financial terms of the acquisition were not disclosed.
“We are delighted by the opportunity to welcome the BigPark team,” Microsoft Game Studios general manager Phil Spencer said.
“We believe BigPark has tremendous potential to develop new properties and innovative gaming experiences for our platforms, one of which we are looking forward to showcasing at the E3 Expo in June” in Los Angeles, he said.
In an interview, BigPark CEO Hanno Lemke said the company will retain all of its 50 employees, and continue to work out of Vancouver under the BigPark name.
“Our goal is to continue on in our current growth plan, which sees us growing over the next number of years,” Lemke said. “We are hiring, but we really want to remain a boutique developer. . . . The plan is to be disciplined and measured in our growth.”
However, according to various reports, the deal is complicated by the presence of Mr. Mattrick, who leads Microsoft’s video-game efforts as senior vice president of the company’s interactive-entertainment business. He is also chairman and co-founder of BigPark and remains a minority shareholder in the company.
David Dennis, a Microsoft spokesman, said Mr. Mattrick was not involved in the discussions to acquire BigPark and that the counsel to do the deal came from other Microsoft executives, including Phil Spencer, general manager of Microsoft game studios, and Robbie Bach, the president of Microsoft’s entertainment-and-devices division.
“The team was blown away by the creativity and talent of folks at the studio,” Dennis said. “We think the game they are working on is going to be a hit.”
Mattrick co-founded BigPark in 2007 after leaving Electronic Arts, along with veterans of Distinctive Software Inc. and Electronic Arts Canada and its founders have been involved in hit franchises such as “Need for Speed,” “FIFA Soccer,” “NBA Street” and “SSX.”
Microsoft said Mattrick disclosed his investment in BigPark to the company before they hired him to run Microsoft’s videogame business two years ago. His position as chairman of BigPark was approved by the company pursuant to Microsoft’s standard of business conduct, Microsoft said in a statement.