MyGamer was informed today that Red 5 Studios, an independent company whose development staff was behind the productions of [i]World of Warcraft[/i], has
raised additional operating captial for itself. According to Red 5 Studios this money is to be used in order to assist the company in becoming a major player in the development of MMO games for global distribution. At the top of the heap were Benchmark Capital and Sierra Ventures who raised 18.5 million dollars for the company.
This is not the first time that Benchmark Capital has made an imprint on the technology market, though. Previously they have financed [i]Second Life[/i], JAMDAT, and Ebay to name a few while Sierra has invested a multitude of companies all across the information technology board and works continuously to make and create new companies and to help them make a profit.
Corporate representatives from Benchmark Capital and Sierra Ventures had this to say: “Historically, the winners in the gaming space have been publishers rather than independent studios. However, [i]World of Warcraft[/i] is no ordinary game title and Red 5 is no ordinary team,” said Bill Gurley, a general partner in Benchmark Capital. “With the track record, talent and vision behind Red 5, it is positioned to become a unique creative powerhouse in the online games space.”
Jeff Loomans, partner, Sierra Ventures, stated that: “Sierra invests in world-changing ideas, and we believe that MMOs are poised to become a dominant form of entertainment on a global scale. Red 5 Studios’ mission is aligned perfectly with our goals of building the premiere independent development studio in the online gaming market.” He also added that “Future MMOs need to combine great gameplay and social networking – giving players the ability to reach beyond borders both virtually and globally, and Red 5 Studiosis designing the company and its games around this premise from the beginning.”
Mark Kern, the president and CEO of Red 5 Stuidos, offered the statement that “Red 5 is a creative mecca for the world’s best game development talent to realize their own vision,” and furthermore that “With the financial backing and operational advice of Benchmark and Sierra, our uniquely talented team will have the resources to create the most exciting massively multiplayer titles for a worldwide audience.”
Red 5 Studios is already developing a new MMO title financed by Webzen. Please keep coming by to MyGamer for more information on this and more stories as they become available.
Nick McCavitt@nmccavitt@forumwizard.net
