Mayhem Studios Bags Funding From Lumikai

SUMMARY

Mayhem Studios receives an undisclosed investment from Lumikai to further develop its battle royale mobile game.

The funding aims to expand the development team, accelerate game enhancements, and upgrade technological capabilities.

The investment reflects Lumikai's commitment to supporting globally competitive games from India, amidst growing interest in the hardcore gaming sector.

Mayhem Studios, the mobile game development arm of gaming unicorn Mobile Premier League, has secured an undisclosed capital in a fresh funding round from gaming-focused VC firm Lumikai.

With the fresh funding, Mayhem plans to develop its upcoming battle royale mobile game Underworld Gang Wars. It also aims to grow its team, speed up game development and improve technology stack.

MPL launched Mayhem Studios in May 2022 to develop AAA mobile games.

In the video game industry, the term AAA is used for games with big development budgets and high promotional costs. A title considered to be AAA is therefore expected to be a high-quality game.

Last year, the company raised $20 Mn in its Series A funding round led by Peak XV Partners (formerly known as Sequoia Capital India and Southeast Asia) with participation from Steadview Capital, Truecaller and others.

Lumikai’s founding partner, Salone Sehgal, said the investment shows their faith in Indian gaming. She believes UGW could appeal to players worldwide.

She said, “We think Indian games can become popular globally, and this game fits that vision perfectly.”

The studio previously raised $20 Mn in April 2023, led by Peak XV Partners (formerly Sequoia Capital India).

Ojas Vipat, who heads Mayhem Studios, said Lumikai’s support is a big boost. “Their knowledge of the gaming industry will really help us,” Vipat said. “We want to show that India can make world-class games, and UGW is just the start.”

The development comes at a time when midcore and hardcore gaming are gradually gaining more traction in India. This year, two or three AAA games are scheduled for launch. Although investors remain apprehensive about investing in AAA gaming studios, a few successful launches can potentially make them more eager to invest in such studios.

Nazara CEO Nitish Mittersain also said at Inc42’s The Makers Summit that with Indian talent gaining experience, the country’s gaming industry has made some progress in the AAA segment in the last 3-4 years.

Last year, gaming studio KRAFTON was reported to have received full approval from the government to operate its battle royale game Battlegrounds Mobile India (BGMI) in India, which is one of the top grossing games of the country.