News

Epic Raises $2B For Metaverse From Lego Investors & Sony

Epic Games continues to align with partners on efforts to build a 3D-focused version of the Internet with $2 billion raised from the investors behind Lego and Sony.

Epic just launched Unreal Engine 5 for a wide range of 3D creation tasks ranging from film production to video games on PSVR 2. The $2 billion investment — $1 billion each from the investment company behind The Lego Group (KIRKBI) and existing investors Sony Group Corporation — should strengthen Epic’s efforts to acquire and build complementary technologies. In recent months, Epic has acquired the likes of Bandcamp and Sketchfab as it grows under the guidance of CEO and founder Tim Sweeney.

Last week Epic confirmed a “family-friendly digital experience” is on the way from Lego and Epic to “give kids access to tools that will empower them to become confident creators and deliver amazing play opportunities in a safe and positive space.”

“We are excited to come together to build a space in the metaverse that’s fun, entertaining, and made for kids and families,” Sweeney shared in a prepared statement.

According to Epic, the company only offers a single class of common stock with Sweeney continuing to retain control of the organization. The structure of Epic Games is notable as it faces off against the newly rebranded Meta under the direction of Mark Zuckerberg, as well as existing consumer technology giants like Microsoft, Amazon, Apple and Google. They’re all investing in future technology platforms made possible by things like more powerful AI assistants or AR glasses, but the internal structure of these organizations and the amount of leeway granted to leadership to invest in long-term positioning over short-term quarterly gains could be a significant differentiator in the years to come.

Source: Read Full Article