mBlox Acquires Asian Connectivity Business

Mobile transaction network mBlox has acquired LaNetro Zeds subsidiary technical centre in Singapore. By virtue of this infrastructure agreement, mBlox is hosting LaNetro Zeds operator connectivity business in Asia. LaNetro Zed, a leader in the development and marketing of entertainment and communications products and services for mobile devices, is maintaining ownership of all its content and marketing operations and is using mBloxs mobile transaction network as its preferred mobile billing infrastructure. The agreement confirms a growing trend in the mobile industry, where large, integrated companies are recognising the benefits of outsourced connectivity and billing and are moving to more focused business models.
Under the terms of the agreement, mBlox has acquired LaNetro Zeds Singaporean-based network operation centre, and is hosting LaNetros direct Premium SMS connections to mobile operators in Malaysia and the Philippines. Lanetro Zeds 11 Singapore employees have also joined mBlox as its first Asian-based employees. The new entity will be renamed mBlox Asia Pacific Pte Ltd. LaNetro Zed will continue to manage its content and marketing businesses, as well as its content and customer management platform. LaNetro Zeds commercial agreements with operators will remain in effect so customers will not be affected by the change in infrastructure ownership.
The agreement strengthens both companies position in their respective markets. By hosting its connectivity business with mBlox, LaNetro Zed is focusing its resources on the development and marketing of products and services based on its own intellectual property, thus enabling it to advance its leadership position in the mobile content space.  For mBlox, the deal provides a platform on which to open Asian operations, bringing the worlds largest mobile transaction network to the worlds largest region. With each company concentrating on its core competencies, they will offer higher quality and targeted solutions for creating, delivering and billing content.
In addition to the acquisition, LaNetro Zed, a leading provider of mobile content, with revenues of EUR136 million (93 million) in 2005, has strengthened its business relationship with mBlox. 
“Though we are one of largest mobile content companies in the world, we found keeping in house our own proprietary operator connections to be costly and inefficient,” says LaNetro Zed Founder and CEO, Javier Prez Dolset. “mBlox is the recognised global leader in this space, and they have the service experience and scalable infrastructure necessary to best host our connections with operators to let us manage our mobile transactions. Transferring our connectivity business to mBlox in Asia was the right decision for our business strategy.” 

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