Gaming investment company Mika Games has launched with a $50 million investment fund for the mobile games industry.

According to a release, the company was founded by Wargaming co-founder Nick Katselapov to support mobile game studios with capital in their soft launch stages before they go on to become self-sufficient studios.

Mika Games has already raised an initial $10 million led by VC firm Flint Capital. The company has already invested in two mobile studios: Hot Siberians and Guli Games.

Fueling mobile’s growth

Katselapov's deep interest in mobile gaming fuels the need to invest in the handheld platform as an accessible form of gaming where promising projects can get support with financing and business guidance.

With the mobile gaming market expected to reach $111.4 billion in this year, Mika Games aims to invest globally in mobile-first, free-to-play live service games with strong monetisation potential.

“83% of mobile games fail within three years, and a significant factor contributing to this is the lack of financing and business guidance," said Katselapov. The company will aid in scaling up operations for these studios to reach a monthly revenue milestone of at least $1 million.

“Through our decentralised operating model, we provide our teams with the resources they need to succeed and unleash their full potential, and our growing eco system creates synergies through shared knowledge and collaboration,” the company wrote