Mergers/Acquisitions News

Irdeto acquires Denuvo to combat piracy in gaming industry

Doug Lowther, CEO, Irdeto

Irdeto has acquired gaming security solutions provider, Denuvo, to extend anti-piracy and anti-cheat solutions for games on desktop, mobile, console and VR devices. Denuvo provides technology and services for game publishers and platforms, independent software vendors, e-publishers and video publishers across the globe. Current Denuvo customers include Electronic Arts, UbiSoft, Warner Bros and Lionsgate Entertainment, with protection provided for games such as Star Wars Battlefront II, Football Manager, Injustice 2 and others.

With the global gaming market estimated to be worth $128.5 billion by 2020, the partnership between Irdeto and Denuvo, the release stated, brings together decades of security expertise to help prevent revenue loss for game publishers and disrupt undesirable cheating in the gaming environment. Denuvo will continue to operate as usual with all staff retained and the Denuvo HQ along with its sales operations will continue to function. The partnership also enables Irdeto and Denuvo to grow the addressable market for its core technology and anti-piracy services.

Commenting on the acquisition, Doug Lowther, CEO, Irdeto observed: “The success of any game title is dependent upon the ability of the title to operate as the publisher intended. As a result, protection of both the game itself and the gaming experience for end users is critical.”

Denuvo’s anti-tamper technology reportedly prevents hackers from copying and reverse engineering games to redistribute the content. Denuvo will leverage Irdeto’s security expertise, anti-piracy technology, Irdeto Cloakware software security and application protection technology and IP to strengthen Denuvo’s own core offering.

Denuvo’s anti-cheat technology reportedly prevents hackers in multi-player games from manipulating and distorting data and code to gain an advantage over other gamers or bypass in-game micro-transactions. This prevents dilution of the value of the game for the user and the game studio, the release stated.

“Hackers and cybercriminals in the gaming space are savvy, and always have been. It is critical to implement robust security strategies to combat the latest gaming threats and protect the investment in games. Much like the movie industry, it’s the only way to ensure that great games continue to get made,” said Reinhard Blaukovitsch, Managing Director of Denuvo, Irdeto. “In joining with Irdeto, we are bringing together a unique combination of security expertise, technology and enhanced piracy services to aggressively address security challenges that customers and gamers face from hackers.”

The Denuvo technology enables binary protection for games and enterprise applications across multiple platforms, including desktops (windows), consoles (PS4, Xbox), VR devices and mobile gaming. Denuvo also provides additional technologies for use beyond the gaming market to protect B2B software, e-books and video assets for Hollywood studios, including protecting the Hunger Games trilogy.