After Monolith's creation, Namco buy VME to gear up for the future, including selling games online

Namco Ltd acquired Virtual Music Entertainment Inc, a Massachusetts-based videogame developer, the Nihon Keizai Shimbun morning edition reported today.

The $16 million dollar deal enables Namco to use VME's patented technology and intellectual property rights in developing videogames, and what's more, Namco plan to use VME's knowledge to sell music game software over the Internet.

By the end of November, VME should become a subsidiary company, with a tentative name of Namco Music Playground, say the sources. The new firm, capitalised at 1 million dollars, will be registered in Delaware and will be under the wing of US firm Namco Holding Corp.

VME have developed music games for PlayStation and other platforms and have posted revenues totalling 20 million dollars since their establishment in 1993, up to 1998.

Courtesy of IGN.com