Sony and Lego invest $2 billion in Epic to help build the metaverse

Sony has invested $1 billion in Epic Games to further expand the relationship between the two companies and help support the development of the metaverse. A separate $1 billion investment in Epic was made at the same time by Lego’s parent company Kirkbi.

“As a creative entertainment company, we are excited to invest in Epic to deepen our relationship in the realm of the metaverse, a space where creators and users share their time,” said Sony Group Corporation President, President and CEO Kenichiro Yoshida. “We are also confident that the Epic experience, including its powerful game engine, combined with Sony technologies, will accelerate our various efforts, such as the development of new digital sports fan experiences and our virtual production initiatives.”

This is Sony’s second round of investment in Epic Games, after a Investment of US$ 250 million (opens in new tab) made in July 2020. Kirkbi’s investment, however, comes less than a week after the Lego Group announced a long term partnership (opens in new tab) with Epic to “shape the future of the metaverse”.

“A proportion of our investments are focused on trends that we believe will impact the future world we and our children will live in,” said Kirkbi CEO Søren Thorup Sørensen. “This investment will accelerate our engagement in the digital gaming world and we are pleased to invest in Epic Games to support its continued growth journey, with a long-term focus on the future metaverse.”

Unfortunately, the announcement fails to address the most fundamental lingering question about the metaverse: what exactly is it? We have our own thoughts on the matter (it’s bullshit (opens in new tab)), but Epic said the three companies “aim to create new social entertainment by exploring the connection between the digital and physical worlds”. Which isn’t the most concise analysis of what’s cooking I’ve ever encountered, but for now it looks to be as good as we’re going to get. Make it what you want.

“This investment will accelerate our work to build the metaverse and create spaces where players can have fun with friends, brands can build creative and immersive experiences, and creators can build community and thrive,” said Epic Games CEO Tim Sweeney. .

Epic’s “post-money valuation” — basically, what it’s worth after Sony and Lego hand over the money — is now $31.5 billion, but the investment doesn’t change its ownership status: the company said remains controlled by Sweeney.

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