Viacom, the global entertainment company that owns MTV, VH1, Nickelodeon, Paramount Pictures and more, today added online gaming community Xfire to its list of brands. For $102 million in cash, Xfire will join Viacom's MTV Networks unit.

Viacom, and specifically MTV, have been making more of an effort lately to target the online and video game sectors—most recently, MTV acquired GameTrailers.com. According to Viacom, "Xfire and its users fit squarely into the Company's multiplatform strategy to build an engaging universe of music, gaming, entertainment, news, networking and interactivity for focused audiences. As part of MTV Networks, Xfire will be better able to maximize its advertising revenues through more aggressive marketing, greater global penetration and comprehensive integration with the Company's other digital and cable properties that address the gaming demographic."

Xfire, which was launched in 2004 by CEO Mike Cassidy, currently has four million registered members with one million active users that average 91 hours per month; users have an average session length of over 3 hours. Not only does the ad-supported Xfire application allow gamers to engage in social networking through friends lists, in-game messaging and voice chat, but it also provides stat tracking and file downloads for hundreds of PC games.

"On both a strategic and an economic level, this is a terrific deal for Viacom," enthused Tom Freston, President and Chief Executive Officer of Viacom. "Xfire is far and away the leading PC gaming communications and community platform, has outstanding management, and is a perfect fit with our growing digital businesses at MTV Networks. It's a bull's eye against our young audiences, and meets our strict financial targets."

"Online gaming is an intensely social phenomenon, with millions of young adults around the globe interacting constantly, not only to play, but also to share information and evaluate games. Xfire is the leading gamer community platform, and we look forward to integrating its services and user base into our multi-platform strategy at MTV Networks, which already includes assets like Neopets, GameTrailers, iFilm and more. We are thrilled to welcome Mike Cassidy, Chris Kirmse, Adam Boyden and the rest of Xfire's management team to the table," commented Judy McGrath, Chairman and Chief Executive Officer of MTV Networks

"We can think of no better home for Xfire than MTV Networks, a company that's as user-obsessed as we are. We look forward to working together with a shared commitment to giving teens and young adults the best in digital entertainment, and the operational flexibility to maintain the integrity of the Xfire brand for our users," added Cassidy. "Having the benefit of MTV Networks' marketing expertise and the power of their brands behind us will allow us to reach more users in more countries, across more platforms. We're excited to work with Judy McGrath and everyone at MTV Networks to continue to deliver even more for our members."