Currently, tech giants are looking forward to adopting the metaverse concept, making it one of the trending business trends. Among others, Google, Facebook, and Microsoft have decided to join the trend with investors pouring billions into metaverse startups.
Mark Zuckerberg, the CEO of Meta (formerly Facebook) spent millions, if not billions of dollars, to transform Facebook into a metaverse company. The amount is being spent on buying virtual games and virtual reality to establish a global shared virtual environment.
Metaverse is a viable business opportunity with investors coming up to fund startups. Here at TFN today, we take a look at some of the metaverse startups that got funding recently.
Spatial (US)
Founder/s: Anand Agarawala, Jinha Lee
Founded year: 2016
Total funding: $39M
Spatial, a tele-presence platform excellent in enterprise collaboration and training, is planning to shift to social platforms and NFTs. NFTs are a recent trend in cryptocurrencies. The company received funding from various investment companies such as Pine Venture Partners, Maven Growth Partners, KB Investment, and Balaji Srinvasan, among other existing investors.
The company has been previously funded by iNovia, Lererr Hippeau, and Whitestar bringing the total funding to a tune of $50 million.
Spatial has since come up with an NFT environment to form collaborations between creators and collectors.
Funds received will help transform the company into a 3D hub linking NFT creators to collectors and communities. The company’s CEO envisions a newer version of 3D Geocities, which offered code-free website building capabilities in the ’90s.
MetaMundo (Netherlands)
Founder/s: Finn Hansen, Mark Studholme
Founded year: 2021
Total funding: $2.7M
MetaMundo, a 3D NFT marketplace that allows 3D creators to create, sell and license 3D collectibles for use in the metaverse and virtual reality. The company houses 3D NFTs, including architecture and vehicles, among others. It aims at empowering creators and allowing collectors to access available collectibles easily.
The Amsterdam-based marketplace has raised $2.7 million, intending to build a metaverse. The seed round of funding was initiated by Animoca Brands, a popular gamification and blockchain company. Other than Animoca Brands, Hypersphere Ventures, Marshland Capital, Polygon, Cryptomeria Capital, Metacollective, and Ascensive Assets, others participated in funding MetaMundo.
Zepeto (South Korea)
Founder/s: DaeWook Kim
Founded year: 2018
Total funding: $191M
Naver Corp.’s Zepeto is a virtual social platform that permits creators to develop 3D avatars using facial recognition, augmented reality, and 3D technology. Zepeto is one of the metaverse beneficiaries to benefit from the funding.
Softbank Group Corp has funded the company with $190 million to help expand its business overseas and create a talent pool. Naver Z Corp, which operates the Zepeto metaverse platform, planned to issue 28,624 shares to get 223.6 Billion. The company raised $189 million from Softbank Vision Fund, taking 22 434 shares of the possible 22,434. Other investors include JYP Entertainment INC., Mirae Asset Capital, HYBE Co., YG entertainment Inc., and Mirae Asset Consulting, among others. The funds will help expand Zepeto’s presence worldwide and hire talent.
Zepeto has attracted over 250 million new users, forming the largest overseas customer base for South Korea. Users can play games and communicate using 3D avatars while still earning cash rewards through fashion items.
Niantic (US)
Founder/s: John Hanke, Phil Keslin
Founded year: 2010
Total funding: NA
Niantic, Inc. has done a funding round that has helped raise $300 million from Coatue to build a metaverse. The $300 funding has raised the company’s value to $9 billion. Niantic, Inc. develops games such as Pokémon GO, working as an augmented reality platform.
The company aims to create a real-world metaverse that will bring people into adopting metaverse without sticking to a VR headset.
In his address, the company CEO said that he believes people feel great when the real world smoothly connects to the physical.
Niantic aims at utilising technology to help people experience the world better by encouraging people to use smart devices to explore their surroundings.
Varjo (Finland)
Founder/s: Klaus Melakari, Niko Eiden, Roope Rainisto, Urho Konttori
Founded year: 2010
Total funding: $92.3M
Varjo manufactures professional headsets and was formed by ex Nokia and Microsoft executives. The company specialises in making virtual reality, augmented reality, and mixed reality headsets high-resolution devices that offer clarity better than the human eye.
Currently, the company is set to undertake a project to create a metaverse. The company has since raised €20 million in the form of a loan for the development from European Investment Bank as a Covid recovery package as agreed by EU member states in 2020.
RTFKT (UK)
Founder/s: Benoit Pagotto, Chris Le, Steven Vasilev
Founded year: 2019
Total funding: $8M
RTFKT is virtual sneakers and collectibles merged with reality versions and gaming niches. The company’s sneakers are real, having acquired a team of talented creators to build an authentic and connected brand. The company also creates NFT collectibles, memes, and shoes.
Nike has acquired the company in what Nike’s CEO terms as a step towards accelerating the digital transformation.
The amount at which Nike acquired the company is unknown, but the aim is to gain a footing in the metaverse. It will help the global sports brand serve athletes and creators better by intersecting creativity, games, and culture.
