Epic Games Raises $1.8 Billion to Expand Live Services, Game Engine Development

“Fornite” creator is now valued at $17.3 billion

“Fortnite” creator Epic Games raised $1.78 billion to continue work on its game development technology and live services business. Following this round of funding Epic Games is now valued at $17.3 billion.

This funding round includes a $250 million investment by Sony that was announced in early July. Following this deal, Sony took a 1.4% minority stake in Epic, which is also backed by Chinese tech conglomerate Tencent.

In addition to creating the vastly popular battle royale game “Fortnite,” Epic Games also licenses its game development technology, the Unreal Engine, and operates an online games marketplace it calls the Epic Games Store.

An Epic Games spokesperson told TheWrap “the funding will be used to expand Epic’s digital ecosystem, including Unreal Engine, Epic Online Services and the Epic Games Store.”

Existing investors Lightspeed Venture Partners, KKR and Smash Ventures participated in the funding round, as did new backers including investment management firm BlackRock, Fidelity Management & Research Co. and Carolina Panthers owner David Tepper.

“Having the support of leaders in the financial community accelerates Epic’s efforts to build a new kind of digital ecosystem using real-time 3D technology, services that connect hundreds of millions of people, and a digital storefront that offers a fair business model,” Epic CEO Tim Sweeney said in a statement Thursday. “We are delighted to have them as part of the Epic family.”