Why Transcend Invested In thatgamecompany

Known for creating iconic gaming experiences through minimalistic yet deeply emotional storytelling, the voice of thatgamecompany is distinct and widely admired in digital entertainment. We are delighted to welcome them to Transcend.

Officially formed in 2006 by then-students Jenova Chen and Kellee Santiago, thatgamecompany was born from a powerful mission to bring greater meaning, emotional depth, and uplifting social interactions to gaming. Their vision for games as a medium and dedication to craft have inspired many around the industry and around the world.

Since those early days, the studio has developed several critically acclaimed titles including Journey, Flow, and Flower. Their latest, Sky, is a socially-driven exploration game announced and released in 2019 on Apple devices and very recently, Android. Like its predecessors, it was designed to promote positivity, collaboration and connection between players.

A STUDIO THAT DESIGNS FOR FEELING

Most games start with a mechanic. Jenova starts with an emotion. His approach is to decide first what the player should feel, then build everything else in service of that feeling. The results speak for themselves. Journey won 118 awards, including six Game Developers Choice Awards and five BAFTAs, and holds the Guinness World Record for the most awards won by an independent game. Its score was the first ever nominated for a Grammy. The studio's earlier work earned a place in the art world too: Flower was featured in the Smithsonian's Art of Video Games exhibition, and MoMA added flOw to its collection.

FROM PUBLISHER-FUNDED TO INDEPENDENT

thatgamecompany's first three games were made under a three-title deal with Sony and launched as PlayStation exclusives. In 2012, with Journey complete, the studio raised a seed round and went independent. That decision changed the shape of the business. Sky is thatgamecompany's first self-published game and its first free-to-play live service, built to reach players on every major platform rather than one console. The studio now owns its IP and its relationship with its players.

WHY SKY

Sky takes the studio's emotional design and makes it social. Players explore together, guide strangers, and share light with one another. Cooperation is the core of the experience, not an add-on. Players responded immediately: Sky passed one million downloads within five days of its iOS launch in July 2019. We invest in teams that build lasting relationships with their audience, and Sky is designed to keep a community together for years. That's the opportunity we're backing.

As fans and now partners, all of us at Transcend admire their commitment to crafting impactful, unifying, and lasting interactive entertainment. We are proud to join them on the coming journey.

UPDATE · SINCE WE INVESTED

OCT 2020   Sky passes 50M downloads. PocketGamer.biz

JUN 2021   Sky passes 100M installs. Read: State of Play 2021 | 2022

MAR 2022   thatgamecompany raises $160M. GamesBeat

MAY 2025   Sky premieres The Two Embers, an animated film watched together in-game

MAY 2026   Sky passes 300M downloads as thatgamecompany turns 20. PocketGamer.biz

AUG 2026   thatgamecompany launches thatgamepublisher. GamesIndustry.biz

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ABOUT SHANTI BERGEL

Shanti is the founding partner of Transcend and a 35 year game industry veteran. His global operating experience spans every major platform and business model transition of the last several decades and is animated by a career-long fascination with how changes in technology and distribution affect products, services, and communities. Shanti is a recognized member of the Techcrunch List, speaks fluent Japanese, and is a frequent speaker on early stage investment, M&A, and strategic partnerships in digital entertainment.

ABOUT TRANSCEND

Transcend is a top quartile early-stage venture firm that backs AI-native entrepreneurs building the next generation of interactive entertainment. In a $263B global industry where AI is rewriting the economics, we partner with the founders leading that shift from pre-seed through Series A. Founded in 2020 by veterans with 70+ years of operator experience and $10B+ in lifetime revenue. Learn more at transcend.fund and follow us on LinkedIn.