• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Current price of oil as of July 1, 2026

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Current price of oil as of July 1, 2026

How Chillingo picks winners in mobile games

By
February 14, 2013, 7:08 AM ET
Add Fortune on Google for similar content.

FORTUNE — Mobile game publisher Chillingo knows how to pick a winner. Founders Chris Byatte and Joe Wee were the first publishers to stumble on Angry Birds, created by Espoo, Finland-based Rovio, back in 2009. With Chillingo’s help, the game grew into a $1 billion franchise spawning numerous spinoffs. Then in 2010 Chillingo published Cut the Rope — arguably the second-most successful mobile game to date.

Mobile gaming shows no signs of slowing down. Sales of games such as Bad Piggies and Letterpress reached $9.7 billion in 2012, according to Gartner. But identifying hits in a burgeoning field of so-called indie developers is no easy task. Traditional game companies have struggled to adapt to changing tastes and technologies, which has only complicated the sometimes nebulous process of finding mega-hits. What’s more, developers are increasingly choosing to forego formal relationships with mobile publishers, selling them directly to gamers over the Internet or through digital storefronts such as Valve Software’s popular Steam as well as funding projects through Kickstarter. (Rovio, for example, began self-publishing its titles after its initial partnership with Chillingo lapsed.)

MORE: There is no joy in FarmVille

That has only made Chillingo more unique, argues Bernard Kim, senior vice president of social and mobile publishing at Electronic Arts (EA). “What folks like EA and Chillingo can provide are massive market insights,” he says. “[Insights] turning what could be a B-minus game into an A-plus title before it gets to the marketplace.” EA bought Chillingo in 2010 for $20 million. Chillingo, which is based in Macclesfield, England, sifts through thousands of submissions and pitches per year, aiming to bring at least one new game to market per week. Co-founder Joe Wee says the process is a hunt for quality.

Developer-publisher relationships in mobile games operate similarly to those in the book industry. An indie developer who chooses to partner with a well-known publisher like Chillingo receives promotional support as well as a stamp of approval with gamers, says Kim. Because Chillingo has a strong eye for talent, that approval can go a long way, says analyst Michael Pachter. “They certainly have more big hits than anyone,” he adds. “It’s sort of like, what is it that Steven Spielberg does differently to a movie and what does Martin Scorsese do differently as a director? [Chillingo] just has that sense of what’s going to work.” To date, Chillingo has published 12 titles that have reached No. 1 on the mobile gaming charts.

So how much is a “Steven Spielberg” of mobile game publishing worth? EA appears to have struck gold with its paltry purchase price, a steal according to multiple analysts. (Just one week earlier, Japanese mobile company DeNA, Inc. purchased developer/publisher Ngmoco for $400 million. Last year, Zynga’s (ZNGA) $100 million acquisition of OMGPOP, maker of Draw Something, was widely seen as a mistimed mistake.) Mobile gaming consultant Kevin Dent believes that Chillingo could have fetched a similar price tag if it had waited just a year or two longer. “In terms of mobile, it was the second-best buy in the history of the industry,” he says. Chillingo remains part of EA’s larger mobile gaming outfit, which includes other publishers like PopCap and Firemonkeys, Australia’s largest game studio.

MORE: For Zynga, it’s not game over yet

In addition to spotting some of the industry’s most profitable titles, Chillingo is trying to transform the gaming business model, says Dent. Publishers previously offered developers large paydays up front in exchange for keeping higher revenue percentages once games hit the app market. Chillingo does the opposite, shelling out little money up front and allowing developers to keep the lion’s share of revenues. This has given developers more control, and Chillingo has acquired a strong reputation as a publisher developers wanted to work with, says Dent. It hasn’t taken long for others to follow suit. “Everyone in the market now basically followed Chillingo’s lead,” he adds. Still, there is no guarantee the company can reproduce its outsized hits.

The publisher is also trying new approaches. This month, the company outlined a partnership with Samsung, which launched a “100% Indie” campaign aimed at bringing more developers to Samsung Apps, the phone maker’s app marketplace. Developers that launch in March on Samsung Apps will receive 100% of revenue for the first six months on the platform, racheting down in 10% intervals until reaching an industry standard of 70% of revenue after two years on the market, says Byatte. The program is intended to encourage indie developers to bring their games to market without fear of losing out on revenues. “We actually want a platform that allows us to give back to the community,” says Wee, “to act as mentors to gamers, to inspire them, and to create content.”

Add Fortune on Google for similar content.

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

U.S. Treasury Secretary Scott Bessent
EconomyDebt
AI’s $2.2 trillion deficit fix is already half fake, economists say
By Tristan BoveJuly 2, 2026
1 hour ago
s
Personal FinanceSports
The sports economy is unaffordable at the bar, let alone the stadium
By Catherina GioinoJuly 2, 2026
1 hour ago
m
Politicsfraud
Trump fights fraud by freezing funding for New York’s Medicaid Fraud Control Unit
By Ali Swenson, Geoff Mulvihill and The Associated PressJuly 2, 2026
1 hour ago
Anthropic CEO Dario Amodei
AIEye on AI
Anthropic’s Fable model is back. But U.S. AI policy is still a mess
By Jeremy KahnJuly 2, 2026
1 hour ago
sb
North AmericaU.S. Department of the Treasury
Scott Bessent goes after the top Mexican cartel’s new billion-dollar business: gas stations
By Fatima Hussein and The Associated PressJuly 2, 2026
1 hour ago
t
PoliticsWhite House
Trump trots out the C-word — communism — not getting the memo that capitalism has been largely discredited with Gen Z
By Steven Sloan and The Associated PressJuly 2, 2026
2 hours ago

Most Popular

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
Big Tech
As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
By Marco Quiroz-GutierrezJuly 1, 2026
2 days ago
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
8 days ago
Current price of oil as of July 1, 2026
Personal Finance
Current price of oil as of July 1, 2026
By Joseph HostetlerJuly 1, 2026
1 day ago
Trump got a $78K pension from the Screen Actors Guild in 2025 because he appeared in Home Alone 2 in 1992
Politics
Trump got a $78K pension from the Screen Actors Guild in 2025 because he appeared in Home Alone 2 in 1992
By Sasha RogelbergJuly 1, 2026
1 day ago
CEO of $248 billion cybersecurity company says workers are about to face a ‘Darwinian moment’ thanks to AI: Evolve or get cut
Success
CEO of $248 billion cybersecurity company says workers are about to face a ‘Darwinian moment’ thanks to AI: Evolve or get cut
By Emma BurleighJuly 1, 2026
1 day ago
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
Success
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
By Preston ForeJune 27, 2026
5 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.