Swedish virtual reality games developer Resolution Games has raised $7.5 million in an investment that values the company at $87.5m.
The latest funding round was led by Mizmaa Ventures and also included new investors from GP Bullhound and Fly Forever, as well as Unity co-founder David Helgason. Previous investors joining the round included GV, Partech, Bonnier Ventures, Creandum and Sisu Game Ventures.
Total funding in the studio now stands at $13.5 million. It plans to use the cash injection to expand its operations and grow its portfolio of IP for both VR and AR projects.
The company has previously worked on projects such as Bait! and the first ever third-party developed app for the Magic Leap headset, Angry Birds FPS: First Person Slingshot.
Speaking to PocketGamer.biz, Resolution Games CEO Tommy Palm (pictured, main) - famed for his role in helping make Candy Crush Saga a monster success as King's games guru - said the company was already at a stage where it is profitable.
It now plans to grow its roster of IP, with the Rovio deal acting more as a “one-off”.
“I definitely think from a game developer point of view one of the big value builders is creating your own IP,” said Palm.
“We've been able to create several games already that have been really well received and that's something we'll continue to do."
Ready for lift-off
Palm also said that while there is a crossover between AR and VR, the studio’s core focus remains on VR projects, where it began with Bait!. Its future projects will also look at integrating social features, an area that Palm thinks will become “very valuable” for the market.
The VR industry has experienced slow growth so far and is yet to cement a place as a mass-market consumer technology. Palm sees that changing soon thanks to standalone headsets like the Oculus Quest and other similar hardware expected to come from other manufacturers.
“It's not going to be a huge explosion straight away, but from next year we'll start seeing volumes enough for it to start becoming more and more viable,” he said.