Epic Games secures $2B from Sony and LEGO, aims expansion in the metaverse

The popular PC and console game Fornite-owner, Epic Games, has launched a $2 billion funding round with plans to accelerate the company’s vision to mark its entry into the Metaverse. Though the deal is still subject to customary regulatory approvals, it is expected to bring Epic’s equity valuation to $31.5 billion.

Announcing a $2 billion funding round with Sony and KIRKBI to build the future of digital entertainment. https://t.co/V0bcFftNkg

— Epic Games Newsroom (@EpicNewsroom) April 11, 2022

The current investor, Sony Group Corporation, and the famous holding company behind the LEGO Group, KIRKBI have invested a respective $1 billion. Last year, in April, Sony had also invested $200 million into Epic Games. The chairman, president, and CEO of the Sony Group Corporation, Kenichiro Yoshida said:

“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.”

As per the announcement, the three companies have decided to combine expertise and advancements to influence the future of entertainment and digital pay by developing new virtual production initiatives in sports and gaming.

Epic Games CEO plans to bring a creative and immersive experience

Epic Games has only one class of common stock on the market and is still managed by its CEO and founder, Tim Sweeney who stated that this initiative will serve to “create spaces where players can have fun with friends, brands can build creative and immersive experiences and creators can build a community and thrive.”

Last year in October, Epic Games Store announced the support for NFT games following the massive demand.

Apart from the capital raise, Epic and the LEGO Group have also announced a collaboration to make the Metaverse “safe and fun for children and families.” They want to create a good and family-friendly digital space where kids can use “tools that will empower them to become confident creators.”

In a string of recent large deals within the gaming industry, Microsoft, which is aiming to launch 3D Metaverse apps for Xbox and gaming, acquired Activision Blizzard, home to Call of Duty and Candy Crush, by paying a total sum of $69 billion.