Viacom Rejects $383M Payment To Former Rock Band Game Owners

Following a decision by dispute resolution accountants BDO USA that Viacom owes former shareholders of the gaming company Harmonix an additional $383 million, Viacom filed suit in Delaware seeking to compel the accountants to “consider arguments and evidence that were improperly excluded” in its decision. Viacom had paid Harmonix Music Systems shareholders an initial $175 million to acquire the maker of Rock Band in 2006 after the company’s success with Guitar Hero. Viacom made an additional payment of $150 million in 2007 based on projected earnings for Rock Band. Viacom recalculated in 2008 that Rock Band earnings fell short and the former Harmonix shareholders owed Viacom a refund of $131 million. The Harmonix group then claimed it was owed more than $700 million in additional payments under the acquisition contract with Viacom. The dispute resolution accountants decided upon the lower figure of $383 million. Viacom exited its ill-fated foray into the videogame business roughly a year ago when it sold the division to investment firm Columbus Nova.

This article was printed from