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June 11, 2007 at 9:58 AM

InfoSpace sells unit to FunMobility

In addition to announcing that Verizon Wireless will renew its mobile infrastructure contract today, InfoSpace said it has sold its mobile content business to FunMobility. The sale amplifies InfoSpace’s departure from mobile content and continues the company’s focus on building back-end infrastructure for wireless carriers.

The deal involves InfoSpace Media Studios, formerly Moviso, the Los Angeles-based business unit that InfoSpace formed after acquiring Moviso from Vivendi Universal in 2003. The purchaser, FunMobility, provides wireless community and media services.

“We’re also very excited about the InfoSpace Media Studio team, who are veterans of the mobile media industry, and bring a tremendous amount of experience and energy to FunMobility,” “said FunMobility CEO Adam Lavine.

Under the terms of the agreement, FunMobility will license InfoSpace’s Mobile Data Services Platform — called mCore — which delivers mobile storefront capability for media content downloads. Although InfoSpace had been working on components of the mCore solution for years, it also announced its availability today.

“I am pleased to team up with FunMobility and extend our Mobile Data Services Platform to support them and our mutual carrier customers,” said Steve Elfman, executive vice president of InfoSpace’s mobile division. “We look forward to extending our relationship with FunMobility to enable their digital media solutions.”

Plans are for InfoSpace Media Studios to fully integrate into FunMobility headquarters in Pleasanton, Calif. The Media Studio will be led by Ken Nowak, who will become vice president and general manager of the new FunMobility Media Studio.

After the acquisition, FunMobility will have about 120 employees between the Los Angeles and Pleasanton offices.

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