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Netflix acquires Boss Fight Entertainment, its third game studio
Mumbai: Streaming major Netflix has announced the acquisition of Texas-based independent video game developer Boss Fight Entertainment. This is the streamer’s third studio purchase since it revealed the plans to enter the lucrative mobile game market last year.
The financial terms of the agreement are kept under wraps.
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Boss Fight Entertainment was founded in 2013 by David Rippy, Bill Jackson, and Scott Winsett. The Boss Fight Entertainment team will continue to operate out of their current studios in Allen (Dallas), Austin, and Seattle.
“Since we launched mobile games to our members around the world just four months ago, we’ve been expanding our games catalog bit by bit as we build out our in-house creative development team,” said Netflix VP of game studios Amir Rahimi. “Through partnerships with developers around the world, hiring top talent, and acquisitions like this, we hope to build a world-class games studio capable of bringing a wide variety of delightful and deeply engaging original games.”
“Boss Fight’s mission is to bring simple, beautiful, and fun game experiences to our players wherever they want to play,” said the founders of Boss Fight Entertainment in a joint statement. “Netflix’s commitment to offering ad-free games as part of members’ subscriptions enables game developers like us to focus on creating delightful game play without worrying about monetisation. We couldn’t be more excited to join Netflix at this early stage as we continue doing what we love to do while helping to shape the future of games on Netflix together.”
Earlier this month, Netflix had announced the purchase of the game studio Next Games and in September it had bought Night School.
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Spotify Q1 revenue hits €4.5bn as users cross 760 million globally
Subscriber growth and margins rise as platform bets big on AI and discovery
LONDON: Spotify has kicked off 2026 on a strong note, reporting first-quarter revenue of €4.5 billion, up 14 per cent year-on-year in constant currency, as its global user base swelled past 760 million.
The streaming giant said monthly active users rose 12 per cent year-on-year to 761 million, while premium subscribers climbed 9 per cent to 293 million. The steady rise in both free and paid users signals continued demand for its expanding mix of music, podcasts and audiobooks.
Profitability also struck a chord. Gross margin improved by around 140 basis points to 33 per cent, marking one of the company’s strongest first-quarter performances to date. Operating income reached €715 million, comfortably ahead of expectations.
Spotify co-CEO Alex Norström said, “We surpassed 760 million MAU, delivered on the subscriber growth we aimed to achieve, and saw healthy engagement from existing users, reactivations and new users alike.” He added that increased listening and viewing activity in key markets such as the United States reflects confidence in sustained growth and low churn.
The company’s other co-CEO, Gustav Söderström, pointed to long-term ambition, saying the platform’s scale, creator ecosystem and investments in personalisation are opening up “new growth vectors” across formats and user engagement.
Revenue growth was largely driven by the premium segment, which rose 10 per cent to €4.1 billion, supported by price increases and stable average revenue per user of €4.76. However, the ad-supported business saw a 5 per cent dip to €385 million, though it still posted a modest 3 per cent increase in constant currency terms.
Cash generation remained robust, with free cash flow at €824 million for the quarter and €3.2 billion over the past 12 months. The company also benefited from lower-than-expected operating expenses, including €49 million in reduced social charges linked to share-based compensation.
Beyond the numbers, Spotify is leaning into product innovation. New AI-driven features such as “Taste Profile” and “Prompted Playlist” aim to give users more control over recommendations, while tools like “SongDNA” and “About the Song” deepen music discovery. The platform is also expanding audiobook charts in the United States and United Kingdom to boost engagement in newer formats.
Looking ahead, Spotify expects momentum to continue into the second quarter, forecasting 778 million monthly active users, 299 million subscribers, revenue of €4.8 billion and operating income of €630 million.
With €8.8 billion in cash and 7,258 employees, the company appears well-positioned to keep its growth story in rhythm as competition in digital entertainment intensifies.
