Renowned VC firm – Andreessen Horowitz (known as “a16z”) – announced launching a $600 million fund, GAMES FUND ON, dedicated to investing in the gaming industry. The fund has received support from many industry leaders, including founders and cofounders at Roblox, Riot Games and Discord, Twitch and others, to help build the next generation digital games.
a16z’s Game Endeavors
The leading VC firm a16z said the latest move is based on the belief that games are “driving innovation” across the consumer ecosystem and the “pivotal point” of the next century.
A16z believes that the Metaverse, powered by game infrastructures, can challenge the $300 billion gaming industry, considering giants such as Fortnite, League of Legends and Minecraft.
The firm’s release has outlined that the fund will go to promising game studios, consumer companies built around player communities, and infrastructure tools and services vital for upcoming games and the Metaverse. Additionally, the fund will support its portfolio companies by helping them build communities and manage virtual economies, as well as IP licensing and dev teams.
Seeing GAMES FUND ONE as “nearly a decade in the making,” the VC firm recalled its game endeavors began in the 2010s by backing companies like Zynga and Oculus, stating its firm belief in the industry has only been stronger.
“All of this has cemented our belief that games require a specialized focus–not just in dedicated investing capital, but also in operational prowess that’s as unique and forward-thinking as the games industry itself.”
New Crypto Research Unit on Web3
Last month, the VC firm created a Web3-focused crypto research team, claiming that such applications can “uncover fresh research challenges that are fundamental to how this technological movement will play out.”
The lab was envisioned by the team as a research facility that would solve problems in the Web3 space, and move to advance science and technology for the next generation of Internet.
As reported, a16z, amongst the leading venture capital companies investing in all sorts of crypto and tech-related projects, raised $9 billion to double down on its involvement in the sector.