Iconic video game label Atari has acquired Crossy Road studio Hipster Whale in a new deal that could ultimately cost the former up to $40 million. Atari announced the acquisition in a press release on Monday before sharing the news across social media. “Friends worth crossing the road for,” Atari’s tongue-in-cheek Bluesky post starts. “Atari welcomes the team at [Hipster Whale] to the family!”
The agreement, which Atari says will expand its mobile gaming development and publishing capabilities, introduces a “pipeline of projects built on popular IPs” while giving Hipster Whale creatives “access to Atari’s expertise in premium game publishing, commercialization, distribution, licensing, and hardware.”
“Atari and Hipster Whale share DNA for classic retro-style gaming, and together we can lean on each other’s strengths — Hipster Whale for mobile gaming, and Atari for premium gaming — to significantly expand our mobile business,” Atari CEO and Chairman Wade Rosen said in the brand’s news release. “The acquisition of Hipster Whale is a significant milestone in Atari’s growth plan.”
“Hipster Whale loves arcade games,” shared Hipster Whale co-founder Matt Hall. “When we created Crossy Road, we defined our company’s mission: to bring the spirit of the arcade to new audiences on mobile devices — a focus that has resonated with players worldwide and surpassed 340 million downloads over the past decade. Joining forces with Atari brings together what each company does best: our unique approach to mobile development and Atari’s classic IP, licensing strength, and cross-media reach.”
Atari buys ‘Crossy Road’ studio Hipster Whale in major mobile gaming expansion
Melbourne, Australia-based indie game studio Hipster Whale was established 12 years ago by co-founders Matt Hall and Andy Sum. The studio’s inaugural and best-known project, mobile arcade hit Crossy Road, has amassed more than 340 million downloads since its November 2014 launch. In addition to its viral Frogger-like road-hopper, studio Hipster Whale has also worked alongside major brands like Bandai Namco and Disney on PAC-MAN 256 and Disney Crossy Road.
Just last month, Hipster Whale announced it had partnered with BBC Studios and Ludo Studio to launch a new Bluey update in Apple Arcade-exclusive game, Crossy Road Castle. The stage, called “Bluey and Bingo’s Obstacle Course,” is playable ’til June 22, 2026.
According to Atari’s news release, Hipster Whale brought in about $12.91 million in the trailing 12 months ended January 31, 2026 — $8.28 million in revenue, and $4.63 million in EBITDA — “reflecting a profitable, cash-generative business.”
Atari will pick up Hipster Whale for an initial consideration of $29.3 million payable at closing — $26 million in cash and $3.3 million in “newly issued Atari ordinary shares” — with a performance-based earn-out of up to $10 million, payable in cash over the next three years.
Atari says it expects the acquisition to be completed in the coming days.
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