Macrovision buys Mediabolic for $43.5 mln in cash

SAN FRANCISCO, Jan 2 (Reuters) - Software maker Macrovision Corp. MVSN.O said on Tuesday it paid about $43.5 million to buy privately-held Mediabolic in a cash deal aimed at tapping growing consumer demand for playing digital content such as movies on a variety of devices.

The acquisition helps Macrovision provide consumer electronics makers with tools to create devices that display Internet-based content such as digital photos, video and movies on machines ranging from televisions to mobile phones, the companies said.

"Your content becomes available anyplace, any time, regardless of the device," privately held Mediabolic founder and chief executive Dan Putterman said in a telephone interview.

Macrovision is known for software used to protect movies, music and games from unauthorized copying, but sees its latest acquisition as a way to help push into new areas.

Macrovision Chief Executive Fred Amoroso noted that, while there has been explosive growth of television programming and movies available on the Internet, most consumers at the moment limit the content to personal computers.

But he sees growing demand from consumers who want to view Internet-based content on a broader number of devices and said Mediabolic's software enables consumer electronics companies to create products capable of doing this.

Macrovision also said the cash deal for all outstanding Mediabolic shares would add to earnings by 2008, but hurt its 2007 per-share profit by as much as 10 cents.