RealNetworks is trying to boost its gaming content and add to its popular RealArcade service: it has bought out Seattle-based GameHouse, a top developer, publisher and distributor of downloadable PC games,  in a cash and stock transaction valued at approximately $35.6 million.

GameHouse was already selling its games through RealAracade, and was among the most succesful game downloads on the service, according to Rob Glaser, CEO of RealNetworks. “Our single most successful developer is GameHouse, who has sold over 1 million copies of their own titles through us and other Internet channels in just 2 1/2 years,” he said in a statement.

In 2003, GameHouse generated over $10 million in revenue and $5.5 million of net income.

RealArcade GamePass offers consumers a game a month and discounts on subsequent purchases for $6.95/month…GameHouse will operate as a wholly-owned subsidiary of RealNetworks, called GameHouse Studios, and will continue to distribute games through its network of distributors…

More transaction details in the release…