Leading venture capital firm Andreessen Horowitz (a16z) is firmly confident in the Web3 gaming sector and announces a significant increase in funding for promising startups. With a total of $75 million earmarked for investment, a16z is offering $750,000 to each project selected in the third installment of its SPEEDRUN fund.
SPEEDRUN is an early-stage startup accelerator from a16z Games. Startups selected for a16z’s SPEEDRUN fund will receive more than just financial support.
They will have access to a16z’s extensive network of industry experts, strategic guidance, and invaluable mentorship opportunities. With all this support, these startups will significantly increase their chances of success in the competitive Web3 gaming industry.
Andrew Chen, General Partner of a16z Games, is overseeing the initiative and will allocate $30 million of the total investment.
“We’re investing in the intersection of TECH x GAMES, which means AI/infra, 3D tools, VR/AR, web3 gaming, gamified consumer apps, and much more,” Chen wrote.
This year’s SPEEDRUN program will run from July 29 to October 20, 2024 in Los Angeles, United States. Interested startups are encouraged to register by May 19, 2024.
The timing of a16z’s reversal is especially noteworthy. This is because it coincides with a renewed groundswell of interest and investment in the Web3 gaming sector.
In early January 2024, Immutable, Polygon Labs, and King Capital launched the “Inevitable Games Fund” (IGF). This is a $100 million fund dedicated to Web3 video games.
This collective move signals a broader industry consensus on the strategic importance of blockchain technologies in shaping the future of video games.
Additionally, CoinGecko’s research reveals that more than 70% of major game studios are actively investing in Web3 gaming companies.