Weekly News Digest #45

From Streaks to Subscriptions: The $20.7B Gamified Apps Boom

Gamification has moved from streaks and progress loops to one of the fastest-growing corners of consumer tech. Since 2020, gamified B2C apps have generated $20.7B across 208 transactions, with non-gaming consumer apps surpassing mobile gaming IAPs for the first time in Q2’25.

— EdTech: $4.4B invested, $4B+ in exits; Duolingo +160% post-IPO, Kahoot!’s $1.7B take-private, Busuu’s $400M sale.
— Fitness & Wellness: $2.4B invested, $5.2B in exits driven by Google–Fitbit ($2.1B) and Headspace–Ginger ($3B).
— Entertainment & Social: $2.5B in exits, plus early-stage rounds like Dashverse ($13M) and GammaTime ($14M).

EdTech proves the model, Fitness keeps scaling, Social unlocks new interaction patterns. Gamification is now a durable competitive advantage—not just an engagement layer.

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MERGERS & ACQUISITIONS

US-based games developer T-Minus Zero Entertainment has been acquired and relaunched by a group of veteran directors for an undisclosed sum. The transaction includes the acquisition of the T-Minus Zero Entertainment brand and the establishment of the studio as an independent production company. Formerly a subsidiary of NetEase Games (HK: 9999), the studio was originally founded under the publisher and later shut down in Sep’25. T-Minus Zero Entertainment is now seeking new investment to support its relaunch.

UK-based esports organization Esports Global has acquired UK-based university esports body National Student Esports for an undisclosed sum. The acquisition aims to establish the new entity as a central hub for gaming and esports in the UK and Europe. Following the deal, Esports Global has appointed the British Esports Federation to manage the UK university esports sector. The company recently launched a $50m investment fund in Oct’25, with Kuwait-based Alshaya Group.

India-based gaming and entertainment company Zupee has acquired Australia-based AI storytelling startup Nucanon for an undisclosed sum. The acquisition aims to strengthen Zupee’s position in AI-driven interactive storytelling. This strategic decision follows the company’s expansion into the micro-dramas segment. Nucanon develops adaptive narrative systems that enable player choices to influence story and character interactions in real time, powered by its proprietary engine.

VENTURE FINANCING

Web3 gaming company MoonClash has secured undisclosed funding from Candaq, Becker VC, Oasis Labs, BlockPulse, and Apus Capital at a $100m valuation. The funding will support headcount expansion and the development of the company’s AI-powered GameFi ecosystem. MoonClash is building an AI-driven GameFi platform that integrates web3 gaming with blockchain assets and DeFi features.

Lithuania-based games distribution company Eneba has raised $11.6m (€10m) in a funding round from ILTE Lietuva, structured as a loan. The funds will support the company’s expansion into the mobile market through the development of an online platform for mobile games. Eneba operates an online marketplace offering PC & Console games, in-game items, gift cards, and subscriptions.

Israel-based multi-platform games developer Gliding Deer has raised $7m from Wyndham Wealth. The funds will support the company’s AI infrastructure, headcount expansion, and the launch and marketing of upcoming mobile titles. Gliding Deer is best known for developing Bingo Drive and its proprietary GamePro Platform—an AI-powered development environment featuring automated production systems. According to AppMagic, Bingo Drive is a blitz-bingo game that reached $17m in IAP revenue and 2.5 million lifetime downloads to date.

Japan-based web3 gaming studio Tatakai has secured $7m in funding from Tencent (HK: 0700), Yield Guild Games, Immutable, Metis, Banter Capital, and Kryptos. The investment will be used to develop gameplay features and enhance the NFT system within its own game. The company is developing an anime-style, open-world card RPG featuring multi-hero squad gameplay, player-owned digital assets, and a web3 tokenized economy.

UK-based mobile games developer Iron Games has raised $4m from a $100m UK-based Arcadia Gaming Partners fund announced in Mar’25. The funds will be used to support team expansion, accelerate development, and invest in R&D for reusable systems. Iron Games focuses on casual and merge mobile titles. The studio was founded by former Gram Games executives—CPO Eren Yanık and COO Remzi Şenel.

Netherlands-based games distribution platform VaultN has raised $3.5m in a funding round led by Sony Innovation Fund and London Venture Partners. The investment will support the company’s development of new features, including payments, media, and data-powered market intelligence tools. VaultN provides a SaaS solution designed to help publishers and developers unify and automate game distribution. The company previously secured a $1.6m Seed round in May’24.

India-based AI technology startup Game State Labs has secured $2m in a Seed funding round co-led by PeerCapital and Neon Fund. The funds will be used to expand the company’s product and engineering teams. Game State Labs is developing analytics software that helps developers evaluate player behavior and plans to launch its commercial product by Dec’25.

France-based mobile entertainment platform Hoora Games has raised $1.3m in an early-stage funding round from Kima Ventures and several angel investors. The investment will be used to improve the company’s platform performance, scale operations, and support global expansion. Hoora Games develops an instant-play service, offering frictionless, no-download mobile gaming experiences that enable developers to publish games and generate revenue directly through the platform.

Turkey-based mobile games developer Bucked Games has secured $500k in funding led by insha Ventures, with additional participation from Playgate Ventures, Kayacan Ventures, and several angel investors. The investment will be used to support global expansion and the development of new products, including dynamic scenarios, custom difficulty levels, and personalized interaction models. Bucked Games has released 19 mobile titles that have collectively attracted 2.5 million players, and more than 100,000 students use its educational games.

PUBLIC OFFERINGS

Hong Kong-based web3 gaming and investment firm Animoca Brands has announced plans to go public through a reverse merger with US-based digital assets company Currenc Group, involving the acquisition of 100% of Animoca Brands by Currenc Group. The transaction will result in Animoca Brands becoming a Nasdaq-listed entity through Currenc Group’s existing public structure. Under the proposed terms, Animoca Brands’ shareholders will collectively own approximately 95% of the issued shares, while Currenc Group will hold around 5%. As part of the merger, Currenc Group will divest its AI-driven financial solutions and digital remittance platform. Animoca Brands currently has more than 628 portfolio investments, including 171 in web3 gaming projects.

FUNDRAISING

Japan-based corporate VC firm MIXI Global Investments, India-based digital gaming and esports company Nazara Technologies (NSE: NAZARA), and investment firm Chimera VC have partnered to launch the LVL Zero gaming incubator, with additional support from Google Play. The program will provide up to $10k in equity-free grants to each of 10 startups per cohort, offering a 100-day mentorship program. LVL Zero targets early-stage Indian game studios and developers, supporting the creation of prototypes, publishing readiness, and global go-to-market preparation. Over the next five years, the initiative aims to support more than 100 startups.