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Take-Two Interactive Software Inc. (TTWO) acquires Dynamixyz

Take-Two Interactive Software Inc. (NASDAQ: TTWO), a maker and distributor of computer games, purchased another company that went well beyond the usual practice of acquiring such companies.


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Take-Two Interactive Software Inc. (TTWO), as well as other major video game companies, regularly buy developers’ judges to bring in new ideas and hire new employees. However, this time the company acquired a different type of business: the facial animation studio Dynamixyz. Similar technologies can produce realistic character models for movies, video games, advertisement 3D animations, etc.

There were no financial details disclosed, but Dynamixyz is well known for its algorithms for capturing facial expressions using video cameras. This type of algorithm is usually combined with a headband-mounted camera attached to an actor’s head while he or she is reenacting a movie scene or a video game episode.

Facial expression capture technologies allow for significantly faster creation of content while at the same time providing impressively realistic results. The quality of characters’ facial expressions is one of the factors that influence how consumers perceive content. This is because the brain has perfect algorithms for recognizing faces, and flaws in identifying facial expressions immediately become evident and detract attention.  The quality of animation is therefore a serious competitive advantage.

In the near future, Dynamixyz technologies are likely to appear in Take-Two Interactive Software Inc. (TTWO) projects. The human character appears in almost all video games. The filming of real athletes for Take-Two Interactive sports games, such as the NBA basketball series, is likely to have a particularly positive impact. In addition, there are other Take-Two bestsellers that could create great potential. Grand Theft Auto V, for example, takes place in the streets of a big city full of colorful characters.

Take-Two Interactive Software Inc. (TTWO) share price gained 1.02% to $172.10 on July 12. The company’s market cap reached $19.94 billion.

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