Xterio, a cross-platform publisher and developer of high-quality mobile and Web3 games, has raised $40 million in investment.
With additional participation from Hashkey, Foresight Ventures, Headline, Matrix Partners, and Animoca Brands, FunPlus, FTX Ventures, and XPLA led the round.
Despite the economic downturn, conflict in Ukraine, high inflation, the cryptocurrency winter, and a newfound gaming slump, game investors remain enthused about blockchain games. Web3 teams with a good pitch can still raise a whopper of a funding round.
FunPlus, Electronic Arts, Activision Blizzard, Jam City, NetEase, and other prominent game brands run the company in Zug, Switzerland, with a focus on developing multiplayer games that engage and reward players to play together.
The Xterio platform is designed to benefit both the gaming community and the developers that develop them. For hardcore gamers, Xterio wants to be the central hub to discover and play high-quality Web3 games. For designers, Xterio provides a full-service Web2 and Web3 tool suite and publishing services, as well as the ability to carry items and characters, increasing their value and cross-promotion between titles.
The money will be used to develop and distribute its own games as well as those of its partners, to preserve new world-class intellectual property, and to continue development on the Xterio platform, which will include a marketplace, social community hub, and more in the coming months.
Xterio's executive team draws on decades of experience from worldwide leaders in technology, gaming, and entertainment. Cofounder Jeremy Horn, formerly vice president of strategy at Jam City, is a games industry veteran with expertise in developing and maintaining top-grossing social free-to-play games across many platforms.
“We are developing an amazing games platform that combines what people do today with the power of Web3 for tomorrow,” said Horn in a statement. “We believe that ownership enhances gameplay, but we are most interested in developing long-lasting franchises and rich gameplay experiences. We will develop our games to be fun and engaging for both traditional gamers and the Web3 audience in a manner that any type of player can enjoy.”
Yitao Guan, who cofounded FunPlus, will lead Xterio's strategic and technical product development, while chief marketing officer Darion Lowenstein, a 25-year industry veteran, will oversee marketing, publishing, and licensing.
“Games and interactive entertainment are always at the forefront of innovation, and FunPlus has a 10-year history of innovating across the web and mobile. We believe that Web3 will provide consumers and content creators with new approaches to develop, distribute, and engage,” said Chris Petrovic, the chief business officer at FunPlus and a council member of the Xterio Foundation. “Xterio has the right technology and the right approach to be builders in these early days of developing the next generation developer and publisher for the Web3 era.