Joytoto USA Inc. (JYTO.OB) is the California-based subsidiary of a Korean company which engages in the online game and electronics products and components manufacturing business. The electronics products and components business is that of a virtual, original equipment manufacturer and original design manufacturer of consumer electronics for retailers around the globe.
The more interesting part of Joytoto USA’s business is the online game business. That business segment operates online games in North America pursuant to an exclusive North American master license agreement with Joyon Entertainment of Korea. The master license agreement gives Joytoto USA’s wholly-owned subsidiary access to Joyon Korea’s library of successful online video games.
On May 21, 2008 Joytoto USA announced plans to distribute online games to consumers in the U.S. to satisfy growing demand. Online games will be selected from Joyon Korea’s extensive library of 24 popular and successful online games. Game categories include massive multiplayer online role playing games, first person shooter games, casual games, and board games. Joyon USA will have the exclusive rights to each of the 24 game titles, server software, and client software for 10 years, with the option for two additional 5-year periods thereafter.
Entry into the North American market seems to be a natural fit for the company. Revenues from US online gaming services is poised to increase from $1.1 billion in 2005 to $3.5 billion in 2009, according to a study done by market research and consulting firm Parks Associates. Joyon’s online games have enjoyed great success in the Asian markets, where they have generated approximately $100 million in revenues.
Let us hear your thoughts: Joytoto USA, Inc. Message Board