Istanbul’s Dream Games Raises $50M, Launches Royal Match

Turkey Emerges as a Mobile Gaming Powerhouse

Following Zynga’s acquisition of Peak Games, a Turkish company, for $1.8 billion, Turkey has rapidly gained recognition as a significant center for mobile gaming startups. These companies are particularly focused on developing casual puzzle games – a highly engaging format that challenges players with progressively complex visual problems, testing their logical reasoning, memory, and ability to perform under pressure.

Dream Games Launches Royal Match with $50 Million in Funding

Istanbul-based Dream Games, founded by former Peak Games employees, today announced the global launch of its debut title, Royal Match, available on both iOS and Android platforms. Alongside this launch, the company secured $50 million in funding to accelerate its growth – representing the largest Series A investment ever received by a Turkish startup.

Expanding Beyond Puzzle Games

While Dream Games will initially concentrate on expanding its audience within the puzzle game genre through innovative concepts, the company has broader ambitions.

A Vision for Interactive Entertainment

“Our goal is to establish ourselves as an entertainment company,” stated CEO Soner Aydemir, citing Pixar as a source of inspiration, not only in terms of scale but also in its commitment to quality. “Similar to Pixar’s impact on animated films, we aim to redefine mobile gaming. We are beginning with casual puzzle games due to their widespread appeal, but we intend to explore other genres as well. We aspire to become a leading interactive entertainment company renowned for creating exceptional games.”

Investment Details and Backers

This Series A funding round was spearheaded by Index Ventures, with additional participation from Balderton Capital and Makers Fund. Makers Fund had previously invested $7.5 million in Dream Games during a seed round in 2019. Index Ventures brings a strong track record in gaming investments, having previously backed successful companies like Discord, King, Roblox, and Supercell.

Further Investment in Turkish Gaming Talent

Notably, this isn’t Index Ventures’ first investment in a gaming startup originating from Peak Games alumni. In December, they led a $6 million funding round for Bigger Games, another Istanbul-based casual puzzle gaming startup founded by former Peak employees.

Valuation Remains Undisclosed

Dream Games has chosen not to disclose its valuation at this time.

A Calculated Risk with High Potential

Raising $57.5 million prior to launching any games or demonstrating market traction might appear risky, however, several factors suggest a favorable outlook for Dream Games.

The Peak Games Legacy

The entire founding team boasts experience from Peak Games, the Istanbul-based gaming company acquired by Zynga in two stages – initially through the acquisition of specific titles, and later through a full company buyout.

Experienced Leadership Team

CEO Soner Aydemir previously served as Peak’s Director of Product, responsible for the development of their two most successful games, Toy Blast and Toon Blast. Ikbal Namli and Hakan Saglam were Peak’s former engineering leaders. Eren Sengul, a former Peak product manager, and Serdar Yilmaz, an ex-Peak 3D artist, complete the founding team.

(Aydemir clarified that the team departed and established Dream Games in 2019, approximately one year before Zynga’s complete acquisition of Peak.)

Promising Early Metrics for Royal Match

Early performance indicators for Royal Match are encouraging. The game was initially launched as a limited test in the U.K. and Canada in July. During this period, it achieved one million downloads and 200,000 daily active users.

“These figures are very promising when compared to our previous experiences,” Aydemir commented.

Technology and Innovation at the Core

While Aydemir positions Dream Games as an “entertainment” company, he emphasizes the significant technological investment underpinning its products. This includes advancements in graphics, puzzle mechanics, and the data science driving game design.

A Holistic Approach to Game Development

“Creating an iconic game requires a synergy of engineering, artistry, and data science, coupled with effective user acquisition and a robust marketing strategy,” he explained.

Focus on Quality, Not Just Hits

Aydemir believes that prioritizing these elements naturally leads to quality, diminishing the need to solely focus on chasing a fleeting “hit.”

“We don’t subscribe to that approach,” he stated. “Our aim isn’t simply to find a hit.”

Index Ventures’ Alignment with Dream Games’ Vision

This philosophy resonated with Index Ventures as well.

“Developing iconic games demands a harmonious blend of craftsmanship, scientific rigor, and impeccable execution,” said Stephane Kurgan, a partner at Index Ventures, who co-led the round with Sofia Dolfe. “The Dream Games team has mastered this combination through years of collaboration, and Royal Match exemplifies their expertise. We are thrilled to support them in their journey to create the next leading casual gaming experience.”

The Enduring Appeal of Casual Puzzle Games

While Dream Games envisions expanding into diverse interactive experiences, Aydemir highlighted the consistent popularity of casual games, particularly puzzle games.

Puzzle games have historically demonstrated greater longevity compared to other mobile game genres, which often experience rapid surges in popularity followed by declines.

“The overall market of users continues to grow by approximately 20% annually,” he noted. “This trend is expected to persist for decades.”

Turkey’s Unique Advantages for Gaming Startups

The concentration of casual gaming startups in Turkey represents a confluence of favorable conditions. The success of Peak Games has attracted increased investment and provided a blueprint for developers: demonstrating that building a successful global consumer technology company from Turkey is achievable. Furthermore, puzzle games – relying heavily on visual elements – may be particularly effective at overcoming language barriers. Aydemir also pointed to Turkey’s strong pool of engineers and developers coupled with limited opportunities within larger technology companies.

“The mobile gaming industry is relatively young, creating a significant opportunity,” he said.

Updated to correct that Index is not an investor in Rovio, and that the limited test had 200,000, not 200, DAUs.