Rec Room offers a user-generated, immersive social gaming platform that runs on iOS, Android, Xbox, PlayStation, Oculus, and Steam, letting players build and hang out in virtual “rooms.” The company focuses on tools that enable creators to build games and social experiences, and its platform supports both casual meetups and more structured events like virtual weddings and meetings. Rec Room has seen rapid user growth — from 2 million creators/players in March to 37 million users overall, with 12 million rooms on the platform. Monthly user count grew almost 450% since November 2020, and mobile users increased tenfold in that period. The company does not disclose revenue figures but said it paid out about $1 million to game creators in March. Rec Room plans to expand to new platforms, build more experiences, invest in trust and safety systems, and continue enhancing creator tools. Rec Room launched as a VR-only platform and later expanded to traditional game consoles, PC and mobile to broaden its reach. The product emphasizes creator tools and an on-platform economy, with 2 million players having created content. The company reported surpassing 15 million lifetime users and showed 566% year-over-year revenue growth; CEO Nick Fajt said the player base has tripled in the past 12 months. Rec Room is on track to pay out more than $1 million to creators this year. Venture interest has been driven in part by investor FOMO following Roblox’s public debut, as Rec Room follows similar paths around creator monetization. Rec Room is a social gaming platform that started as a VR-centric social hub and gaming platform for virtual reality users. In recent years the company has expanded beyond VR to reach every major gaming platform and scale for a young user base. CEO Nick Fajt says the company has tripled its total audience year-over-year; Rec Room has about 10 million registered users, with more than 1 million engaging creator tools and 4 million distinct rooms. The console user base grew substantially in 2020, and Fajt expects mobile to become the most common point of entry by the end of next year, though Android remains one of the last major platforms without the app. The company plans to scale its creation tools and creator payments, targeting $1 million paid out to creators by the end of 2021. Despite slow VR market maturation, Rec Room remains committed to VR and recently updated its Rec Royale battle royale for Quest 2 and iOS. Financially, the company has raised just shy of $50 million to date and continues to pursue cross-platform growth. Against Gravity builds Rec Room, a cross-platform social VR world where users create and share rooms and multiplayer experiences without coding. The platform supports a wide range of hardware and is about to add iOS support to expand its user base. Rec Room is approaching one million user-created rooms and the studio employs 35 people. Monetization is currently light, but the company plans to let creators charge in-game tokens to play certain user-made experiences later this year. Timing for expansion has been tied to maturation of standalone VR hardware like Oculus Quest. The studio was founded in 2016 and is based in Seattle. Against Gravity develops augmented and virtual reality social experiences, with its flagship product Rec Room. Rec Room is a virtual reality social club where people can play active games against competitors around the world. The app is available for HTC Vive and Oculus Touch. The company raised $5M in venture capital to support hiring and expand operations. Founded in April 2016 and based in Seattle, WA, Against Gravity focuses on growing its VR social platform and team.

Total raised

$294M

Funding rounds

6

Latest round

Equity

Latest activity

Dec 2021