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Shockwave and Atomfilms in broadband e-entertainment orgy

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Shockwave.com and Atomfilms.com have jumped into bed together for a broadband e-entertainment orgy.

The new company will combine offerings such as Atomfilms' short films and animations with Shockwave's interactive games, shows and music. The venture will boast work from Aardman Productions - creators of Chicken Run, and Wallace and Gromit - David Lynch, and Southpark creators Matt Stone and Trey Parker, with 30 million registered users. The merged company, to be based in San Francisco, will also have access to 150 million punters through existing deals with Websites, airlines and TV.

Shockwave will buy Atomfilms via a stock deal - Atomfilms shareholders will own 30 per cent of the new broadband entertainment monster. The agreement is expected to close in the first quarter of next year. Shockwave chairman Rob Burgess will be chairman of the venture while Mika Salmi, CEO and founder of Atomfilms, will be CEO.

"AtomFilms and shockwave.com were both created to pioneer new forms of consumer entertainment and to develop new business models for content creators," said Burgess. "By joining the energies and talents of these two highly creative companies, we have the potential to change the way people are entertained around the world." ®

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