Alta Closes $12.4M Seed Round - Makers Fund & Andreessen Horowitz

Alta Secures $12.4 Million in Seed Funding

Alta, a studio specializing in virtual reality metaverse experiences, has announced the successful completion of a $12.4 million seed funding round. This investment was co-led by prominent venture capital firms, Makers Fund and Andreessen Horowitz.

Additional participation in this funding round included contributions from Pioneer Fund, Boost VC, muru-D, and Thomas Rice. The valuation of the startup following this funding is reported to be $62 million.

Funding Allocation and Future Plans

According to Tima Anoshechkin, co-founder and CEO of Alta, the newly acquired capital will be strategically allocated. Key areas of focus include the continued development of proprietary content and intellectual property, expansion of the company’s team, and preparation for deployment on additional platforms.

Founded in 2016 by Anoshechkin, Joel van de Vorstenbosch, and Boramy Unn, Alta initially focused on virtual reality game development. Their first major project was A Township Tale, a VR open-world RPG.

Early Success and Growth

The company, with locations in Sydney and San Francisco, experienced significant momentum following the launch of A Township Tale on the Oculus Quest 2 in mid-2021. The game achieved the number one position on the Oculus charts for over seven weeks.

Alta also reported substantial revenue growth, increasing tenfold since its inception, though specific revenue figures were not disclosed. Currently, the platform boasts a user base of approximately 500,000 individuals, as stated by Anoshechkin.

Vision for the Future

“Our initial aim at Alta was to craft worlds that foster connection among people,” Anoshechkin explained. “This funding empowers us to broaden this vision, extending beyond the growth of our primary game.”

He further elaborated that the funding will facilitate team expansion, the establishment of new collaborations, and the ongoing development of cutting-edge technology applicable to both VR and other platforms. The goal is to deliver consistently engaging, seamless, and enjoyable experiences.

Expanding the Metaverse

Alta’s strategic objective is to expand and interconnect networks of virtual worlds across diverse platforms, embracing the principles of the metaverse. A key differentiator for Alta’s technology is its reliance on procedural generation.

This technique combines computer algorithms with human-created assets to enable the seamless creation of content at scale while constructing these virtual environments, as Anoshechkin detailed.

Global Expansion Plans

Allison Howard, COO of Alta, indicated that the company intends to pursue another funding round as early as this year. This additional capital will support further growth in headcount across global locations.

With existing offices in Australia and the United States, Alta plans to extend its presence into additional countries within Europe and Asia in the coming months, Howard added.

VR Market Growth

The virtual reality technology landscape has demonstrated consistent growth in recent years. The consumer VR market is projected to surpass $5 billion by 2023, a significant increase from the $2.6 billion recorded in 2020.

Investor Perspectives

Jay Chi, founding partner of Makers Fund, who will be joining Alta’s board of directors, expressed enthusiasm for Alta’s vision. He highlighted the team’s success in creating a sophisticated and systemic world that has resonated with its community.

Andrew Chen, partner at a16z, echoed this sentiment, emphasizing the team’s technical expertise, determination, and passion for building captivating experiences. He noted the increasing adoption of VR and the growth of the metaverse, expressing excitement about partnering with Alta to serve and expand this community.