Opera Software considers sale after lowering financial expectations

Browser maker also acquired Brazilian app discovery service Bemobi amid reduced financial expectations

Opera Software's logo

Opera Software's logo

Opera Software, the company behind the Web browser of the same name, may be seeking a buyer after the company announced lowered expectations for its quarterly and annual financial results.

The Norwegian browser maker previously said that it expected revenue of $630 million - 650 million in 2015, but revised that figure Friday to between $600 million and $618 million. It also said that its quarterly revenue would be $146 million, which is at the very bottom of its guidance range for the quarter and $5 million below the expectations of analysts surveyed by Thomson Reuters.

Opera's reduced expectations are a result of lower-than-anticipated returns from company's mobile advertising business, specifically the non-Instant Play video advertising products from AdColony. While Opera is probably best known for its Web browser, the company actually makes most of its money from its advertising business.

As a result of what Opera calls "strategic interest" in the company from a number of other parties, the firm's board of directors has begun evaluating its options. Opera is working with ABG Sundal Collier and Morgan Stanley International as advisors in the process, which it expects to complete during the second half of this year. It's not yet clear who the interested suitors are.

The company also recently purchased Bemobi, a Brazilian company that offers a Netflix-like subscription service for premium mobile apps.

All of this news comes at an action-packed time for the markets Opera competes in. Apple's upcoming release of iOS 9 will allow users to install and run content blocking extensions in Safari that can block the display of mobile Web ads on the iPhone and iPad. Meanwhile, Microsoft's Windows 10 includes a new browser with a new engine the company promises is better than Internet Explorer. When users upgrade to the company's new operating system, Microsoft sets Edge as the default browser regardless of a user's previous preference.

All of this adds up to a bumpy market for Opera's offerings, especially since the company is competing against the likes of Google, Yahoo, Microsoft, Apple and other Web titans.

Join the PC World newsletter!

Error: Please check your email address.

Tags business issuesopera software

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Blair Hanley Frank

IDG News Service
Show Comments

Cool Tech

Crucial Ballistix Elite 32GB Kit (4 x 8GB) DDR4-3000 UDIMM

Learn more >

Gadgets & Things

Lexar® Professional 1000x microSDHC™/microSDXC™ UHS-II cards

Learn more >

Family Friendly

Lexar® JumpDrive® S57 USB 3.0 flash drive 

Learn more >

Stocking Stuffer

Plox Star Wars Death Star Levitating Bluetooth Speaker

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

GGG Evaluation Team

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Steph Mundell

LIFEBOOK UH574

The Fujitsu LifeBook UH574 allowed for great mobility without being obnoxiously heavy or clunky. Its twelve hours of battery life did not disappoint.

Andrew Mitsi

STYLISTIC Q702

The screen was particularly good. It is bright and visible from most angles, however heat is an issue, particularly around the Windows button on the front, and on the back where the battery housing is located.

Simon Harriott

STYLISTIC Q702

My first impression after unboxing the Q702 is that it is a nice looking unit. Styling is somewhat minimalist but very effective. The tablet part, once detached, has a nice weight, and no buttons or switches are located in awkward or intrusive positions.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?