Opera Software has announced it will be buying rival Skyfire Labs in a deal that online  reports suggest could be above US $150 million.

The Mountain View, California, USA-based Skyfire has software that allows carriers to deliver optimized video & other content to mobile devices. “Opera and Skyfire are a natural fit,” Opera CEO Lars Boilesen said in a statement. “Both companies have evolved far beyond their browser roots. Skyfire adds capabilities to our portfolio around video, app optimization, smartphones and tablets, and strength in North America.

A report in All Things D today said the cash-and-stock deal calls for Skyfire to get an upfront $50 million payment, with performance-based clauses over three years that could eventually make the deal worth $155 million.

The deal is expect to close the middle of next month. When it does, it is expected that Skyfire CEO Jeffrey Glueck will become an executive VP at Opera, overseeing its dealings with carriers while retaining his role as head of Skyfire, which will be a wholly owned subsidiary and continue to develop its Skyfire browser.

Image courtesy: Skyfire/Facebook

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