What VCs Don't See: Why We're Bullish on Gaming Startups

Gaming is expanding its reach into every part of our lives (education, medicine, music) and is becoming the foremost battleground for the future of big tech. This strikes me as analogous to the Facebook story from above. The market clearly believes video games represent a valuable opportunity, but may be underrating the scale by orders of magnitude... See more

We focus on three broad “verticals” to help guide our investment decision making process. Our thesis for game investing is as follows:

Companies that attach themselves to a specific game early in their development process run the risk of being shut out by publishers or becoming niche products unable to break into other games. Some of today’s most successful gaming companies such as Twitch or Discord can attribute much of their success to being game-agnostic.

The gaming ecosystem is extremely tight-knit, and companies need to have a strong understanding of and connection to publishers, distributors, and organizers in order to maximize opportunities in the space.