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Angry birds developer sets sights on Hollywood Angry birds developer sets sights on Hollywood
(1 day later)
Founded: 2003Founded: 2003
Employees: 730Employees: 730
Based: Espoo, FinlandBased: Espoo, Finland
Users: Over a billionUsers: Over a billion
Funding: $42mFunding: $42m
Revenue: €152mRevenue: €152m
Between Bieber and ObamaBetween Bieber and Obama
Mikko Setälä, the executive vice president of Angry Birds developer Rovio, stands out in a room of some of Europe’s top venture capitalists. When he takes the stage, to argue why his company is the most exciting in the continent, he is wearing a bright red hoodie with the face of Red Bird from his company’s hit game Angry Birds emblazoned on the front.Mikko Setälä, the executive vice president of Angry Birds developer Rovio, stands out in a room of some of Europe’s top venture capitalists. When he takes the stage, to argue why his company is the most exciting in the continent, he is wearing a bright red hoodie with the face of Red Bird from his company’s hit game Angry Birds emblazoned on the front.
If it takes confidence to so brazenly flout the accepted uniform of the entrepreneurs and the money men, it takes even more to open a presentation with the claim that Rovio is “the entertainment company of this millennium”. But over the next few minutes, Setälä does a good job of backing that claim up.If it takes confidence to so brazenly flout the accepted uniform of the entrepreneurs and the money men, it takes even more to open a presentation with the claim that Rovio is “the entertainment company of this millennium”. But over the next few minutes, Setälä does a good job of backing that claim up.
Angry Birds, the company’s flagship franchise (it has others, including a take on 1993’s the Incredible Machine called Amazing Alex, but none even close to the success of the birds) has done well for itself.Angry Birds, the company’s flagship franchise (it has others, including a take on 1993’s the Incredible Machine called Amazing Alex, but none even close to the success of the birds) has done well for itself.
The original app is available for a dizzying array of platforms, from all of the major smartphone platforms and several of the minor ones to two generations of home consoles, two generations of portable consoles, Mac OS X, Windows and even a web app, exclusive to Google Chrome. It has spawned six sequels, including tie-ins with Star Wars and the Dreamcast movie Rio, and a spin-off, Bad Piggies.The original app is available for a dizzying array of platforms, from all of the major smartphone platforms and several of the minor ones to two generations of home consoles, two generations of portable consoles, Mac OS X, Windows and even a web app, exclusive to Google Chrome. It has spawned six sequels, including tie-ins with Star Wars and the Dreamcast movie Rio, and a spin-off, Bad Piggies.
Setälä’s not shy about that success, citing Justin Bieber and “a couple of royalties” as fans, nor about the increasingly outlandish promotional stunts the company’s pulled off for the game.Setälä’s not shy about that success, citing Justin Bieber and “a couple of royalties” as fans, nor about the increasingly outlandish promotional stunts the company’s pulled off for the game.
“Justin Bieber has more followers [on Twitter] than us, but we have more than Obama… we've been in space with our birds.” He even points out that the game is available in North Korea – “It's a pirated version, but we are there. I don't think we're suing them. At least, not locally.”“Justin Bieber has more followers [on Twitter] than us, but we have more than Obama… we've been in space with our birds.” He even points out that the game is available in North Korea – “It's a pirated version, but we are there. I don't think we're suing them. At least, not locally.”
Animated birds Animated birds 
But the real support for the claim of millennial-spanning success comes from everything that Rovio does outside of its core competency. The company has licensed 500 partners to use the angry birds on 30,000 products – Amazon alone stocks over 10,000 of them, in categories as diverse as grocery (Angry Birds gums, soft drinks and napkins) and DIY & tools (Angry Birds Duck Tape and torches).But the real support for the claim of millennial-spanning success comes from everything that Rovio does outside of its core competency. The company has licensed 500 partners to use the angry birds on 30,000 products – Amazon alone stocks over 10,000 of them, in categories as diverse as grocery (Angry Birds gums, soft drinks and napkins) and DIY & tools (Angry Birds Duck Tape and torches).
Carpet-bombing the world with licences for products has the effect of turning the franchise into a cultural phenomenon almost through osmosis; Candy Crush Saga rivals the original Angry Birds when it comes to downloads, but someone who has never played the game may well not recognise the first thing from it. No such luck with the birds.Carpet-bombing the world with licences for products has the effect of turning the franchise into a cultural phenomenon almost through osmosis; Candy Crush Saga rivals the original Angry Birds when it comes to downloads, but someone who has never played the game may well not recognise the first thing from it. No such luck with the birds.
Setälä draws comparisons with another company which grew from a new, limited form to become a powerhouse: Disney. Angry Birds is their Steamboat Willie, and Rovio wants to be the Disney of the third millenium.Setälä draws comparisons with another company which grew from a new, limited form to become a powerhouse: Disney. Angry Birds is their Steamboat Willie, and Rovio wants to be the Disney of the third millenium.
But Disney didn’t create Mickey Mouse and then pump out black and white short films for the next 90 years, and Rovio has similar intentions for proliferation. At one end, that involves using the hard-earned brand awareness to move into new areas – not through licensees, but directly.But Disney didn’t create Mickey Mouse and then pump out black and white short films for the next 90 years, and Rovio has similar intentions for proliferation. At one end, that involves using the hard-earned brand awareness to move into new areas – not through licensees, but directly.
In 2016, Angry Birds is becoming a movie. A bona-fide animated feature film, developed by some of Hollywood’s top talent, including David Maisel, the executive who ushered Marvel’s cinematic universe into existence, and Simpsons’ writer Jon Vitti, will be released on 1 July that year, just in time for the independence day weekend.In 2016, Angry Birds is becoming a movie. A bona-fide animated feature film, developed by some of Hollywood’s top talent, including David Maisel, the executive who ushered Marvel’s cinematic universe into existence, and Simpsons’ writer Jon Vitti, will be released on 1 July that year, just in time for the independence day weekend.
At the same time, the company is going to be using the platform it’s already got to deliver more than just games. Rovio recently launched Angry Birds Toons, offering animated shorts through the same app which has been downloaded a billion times. Setälä says it scratches the same itch as the game itself, aiming to be “very consumable when you have a little free time”.At the same time, the company is going to be using the platform it’s already got to deliver more than just games. Rovio recently launched Angry Birds Toons, offering animated shorts through the same app which has been downloaded a billion times. Setälä says it scratches the same itch as the game itself, aiming to be “very consumable when you have a little free time”.
Trojan horseTrojan horse
More important than the Toons themselves are the delivery platform. By re-engineering an app which was downloaded to play as a casual game into a video store (a not inconsiderable technical challenge, according to Setälä), Rovio suddenly finds itself in possession of an install base to rival the biggest players in the business.More important than the Toons themselves are the delivery platform. By re-engineering an app which was downloaded to play as a casual game into a video store (a not inconsiderable technical challenge, according to Setälä), Rovio suddenly finds itself in possession of an install base to rival the biggest players in the business.
And it isn’t just Angry Birds which is being delivered through the platform. “It can be other people's content,” says Setälä, in front of a slide which shows Fox’s Percy Jackson & The Lightning Thief and Pixar’s Planes flanking Angry Birds. With no partnership announced, those picture choices are probably just illustrative, but what they illustrate is ambition.And it isn’t just Angry Birds which is being delivered through the platform. “It can be other people's content,” says Setälä, in front of a slide which shows Fox’s Percy Jackson & The Lightning Thief and Pixar’s Planes flanking Angry Birds. With no partnership announced, those picture choices are probably just illustrative, but what they illustrate is ambition.
Diversifying is important. Although the Angry Birds game is universal in its appeal – the average player is a middle-aged woman, Setälä says – the characters themselves are clearly aimed at children. That’s a lucrative audience, but also a fickle one. They can get bored and move on, leaving previously valuable franchises wasted and useless. By delivering other people’s content as well as their own, Rovio hedges against that risk.Diversifying is important. Although the Angry Birds game is universal in its appeal – the average player is a middle-aged woman, Setälä says – the characters themselves are clearly aimed at children. That’s a lucrative audience, but also a fickle one. They can get bored and move on, leaving previously valuable franchises wasted and useless. By delivering other people’s content as well as their own, Rovio hedges against that risk.
That doesn’t mean, however, that it is planning for the death of the birds. Instead, the target is the longevity of Mickey or Hello Kitty, which has been making money since 1974. And Setälä firmly believes the key to that goal is nothing more than quality. “Delight the people”, he says, and the rest will follow.That doesn’t mean, however, that it is planning for the death of the birds. Instead, the target is the longevity of Mickey or Hello Kitty, which has been making money since 1974. And Setälä firmly believes the key to that goal is nothing more than quality. “Delight the people”, he says, and the rest will follow.
Cat and mouse – and birds?
Mickey Mouse had an inauspicious start. Walt Disney’s first two shorts ­featuring the character failed to find a distributor, so it wasn’t until 1928’s Steamboat Willie was released that audiences first clapped eyes on the mouse. More than 70 years later, the character was worth $5.8bn (£3.6bn) a year to Disney, according to Forbes magazine.
It was Mickey’s move away from the silver screen that generated Disney’s riches. The first merchandise came in the 30s, including toys and watches, with the last Mickey Mouse film appearing in 1953.
Hello Kitty, Rovio’s other role model, went straight down the merchandising route when the cartoon cat and a family of associated characters was launched in Japan in 1974. The brand first appeared on a coin purse as it made its debut focused on the children’s market, branching into stickers, stationery , greetings cards and a cartoon TV series. But it has also moved into the adult consumer market, with the Hello Kitty image emblazoned on electric guitars, wine and even an A330 passenger jet. Hello Kitty is owned by Japanese company Sanrio and rivals Mickey Mouse in value, earning around $5bn a year.
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