Sony makes $1bn investment in Epic Games ‘to deepen relationship in the metaverse field’
Fortnite maker valued at $31.5 billion following latest funding round
Sony has invested an additional $1 billion in Epic Games, which announced the completion of a new $2 billion funding round on Monday.
The PlayStation maker already had a minority stake in Epic, having invested $450 million in the Fortnite and Unreal Engine maker since July 2020.
KIRKBI, the holding and investment company behind The Lego Group, also invested $1 billion in Epic in the latest funding round, which is designed to accelerate the companies’ ambitions in the metaverse space.
Unreal Engine 5 Release | State of Unreal 2022 Presentation
While there’s no universally accepted definition, the metaverse is a network of 3D virtual spaces where users can socialise, play and work, and some envision it as a successor to the mobile internet.
“As a creative entertainment company, we are thrilled to invest in Epic to deepen our relationship in the metaverse field, a space where creators and users share their time,” said Sony CEO Kenichiro Yoshida.
“We are also confident that Epic’s expertise, including their powerful game engine, combined with Sony’s technologies, will accelerate our various efforts such as the development of new digital fan experiences in sports and our virtual production initiatives.”
Epic and the Lego Group announced last week that they had entered a long-term partnership “to shape the future of the metaverse to make it safe and fun for children and families”.
Following the completion of its latest funding round, which is subject to closing conditions including regulatory approvals, Epic will be valued at $31.5 billion.
“As we reimagine the future of entertainment and play we need partners who share our vision. We have found this in our partnership with Sony and KIRKBI,” said Epic CEO Tim Sweeney.
“This investment will accelerate our work to build the metaverse and create spaces where players can have fun with friends, brands can build creative and immersive experiences and creators can build a community and thrive.”