Sony Invests $250 Million In Fortnite Developer Epic Games
Sony has made a multimillion dollar investment into Fortnite and Unreal Engine maker Epic Games, grabbing itself a minority stake in the company for the price of $250 million. According to a joint news release, the investment will allow Sony and Epic to “broaden their collaboration across Sony’s leading portfolio of entertainment assets and technology, and Epic’s social entertainment platform and digital ecosystem to create unique experiences for consumers and creators.”
Sony CEO Kenichiro Yoshida said in a statement:
“Epic’s powerful technology in areas such as graphics places them at the forefront of game engine development with Unreal Engine and other innovations,”
“We will explore opportunities for further collaboration with Epic to delight and bring value to consumers and the industry at large, not only in games, but also across the rapidly evolving digital entertainment landscape.”
This adds to the $1.58 billion Epic Games had raised in previous funding efforts, including the $330 million investment made by Tencent in 2012 in exchange for a 40 percent stake in the company. There’s no mention of what percentage Sony’s $250 million investment lands it, but the deal does follow only weeks after reports first circulated that Epic was looking to sell off a stake in the company worth $750 million (which would then value the company at $17 billion.)
Though Epic is perhaps best known for its battle royale juggernaut Fortnite, the investment will give Sony a greater foothold in the technology behind some of the most popular games, as well as an opportunity to work together on more hybrid gaming-meets-digital-entertainment experiences, like those pioneered by Fortnite.
Epic Games didn’t say what it would use the money for. But it’s a good bet the company will continue to make acquisitions, invest in its Epic Games Store, expand Fortnite, and drive toward the creation of the Metaverse.