Angry Birds creator Rovio bets on 3D movie to revive fortunes
After a year that saw the company write off US$15m and cut staff by a third, the Finnish games maker is releasing a Hollywood movie financed out of its own pocket, but analysts say firm can’t trade on past glories forever
Finnish smartphone games maker Rovio Entertainment Ltd is hoping to revive the cool of its widely known but ageing Angry Birds franchise with an animated 3D Hollywood film financed out of its own pocket.
The original Angry Birds, launched in 2009, remains the top paid mobile app of all time. But its creator’s fortunes have dwindled after it failed to create new hit games; last year Rovio cut a third of its staff, hived off non-core businesses and booked nearly US$15 million in annual losses.
Now the company is pinning its hopes on The Angry Birds Movie, which premiered this week in France and French-speaking Belgium. The movie is set for a June 2 release in Hong Kong.
“The whole [movie] project will have a positive impact on all of our business operations,” Rovio CEO Kati Levoranta says, adding that the company was expecting to return to profit this year.
Rovio bankrolled the US$73 million feature film itself.
“It’s a question of risk and reward, but it’s also about creative control,” says Mikael Hed, executive producer and chairman of wholly owned subsidiary Rovio Animation Co. “The one who pays the bill gets to decide what’s in the movie.”