VGames has announced the launch of a new $10 million Indie Fund.

VGames, a venture capital company, is set to introduce a $10 million fund aimed at indie game development.

This initiative provides financial backing to smaller game studios, offering them a share of generated revenue instead of acquiring equity. Targeting premium titles for PCs and consoles, the fund is intended to create "commercially ambitious titles" that do not depend on free-to-play models for monetization.

Lior Elovitch, an investor from VGames, shared with GamesIndustry.biz that while mobile platforms have enjoyed "very strong returns" and robust exits, the scenario differs for PCs and consoles. Therefore, this fund is directed towards addressing such gaps.

"The number and size of exits in PC/console have posed challenges recently," Elovitch noted. Adjusting their approach, the firm opts for revenue share/project financing over equity in dealings with studios in this sector.

Elovitch believes this revenue-oriented strategy can yield more favorable outcomes for their partners compared to equity investments. It's also aligned with the established practices of studios accustomed to revenue-sharing arrangements with publishers.

The firm plans to invest in 10 to 20 game studios, with each investment ranging between $500,000 and $1 million, tailored to the specific needs of the studio.

Furthermore, VGames emphasizes the autonomy of these studios concerning their product development choices and market strategies. It allows them to maintain independence and keep intellectual property rights.

"Today's independent developers are creating some of the industry's most significant games," stated Daniel Mironov, a partner at VGames.

He highlighted that advancements in technology have enabled smaller teams to compete effectively, a feat not achievable in the past. However, financial support models have not advanced equally. VGames aims to offer flexible funding solutions that align with contemporary game development needs, enabling growth without diluting control or ownership.

Initially established in 2020, VGames raised $30 million to assist studios based in Israel and Eastern Europe. Since then, they have financially supported more than 50 companies, including notable names like SuperPlay, 1047 Games, and Pocket Haven.