Series AI Raises $28M to Revolutionize Game Development with GenAI

It has been an eventful year for Pany Haritatos, a seasoned executive in the gaming industry. Last month, his new game studio startup, Series Entertainment, closed an oversubscribed $28 million Series A funding round, as confirmed by an SEC document and the company. This comes just a year after the company raised $7.9 million in seed funding led by Andreessen Horowitz (a16z). Investors in the Series A include heavyweights like Netflix, Dell Technologies Capital, and follow-on investments from seed investors such as a16z, BITKRAFT, and F4 Fund.

Acquisition of Pixelberry

Since launching Series Entertainment, Haritatos has already made notable moves, including the acquisition of mobile game studio Pixelberry in July. Pixelberry is well known for its interactive fiction game, Choices: Stories You Play, expanding Series' footprint in mobile and interactive gaming.

Series AI and the Rho Engine

Series, also known as Series AI, is pushing the envelope with its ambitious goal to revolutionize game development through generative AI (GenAI) and large language models (LLMs). Central to this mission is the Rho Engine, a GenAI-powered platform that helps developers rapidly create games. Haritatos envisions Series as the next Unity, offering developers a robust AI-native, multimodal full-stack game creation platform that streamlines the entire development process.

The Role of AI in Game Development

The gaming industry is one area where AI is making a substantial impact. With AI-driven tools, developers no longer need to design every element from scratch, from characters to game environments. AI can now generate these components, making games more interactive and immersive. Non-playable characters (NPCs) can evolve into fully developed, dynamic personalities that can interact with players on a deeper level, while providing endless customization options for players.

The Competitive Landscape

While other AI-enhanced game engines like Modl.ai Engine and Unity’s Muse Chat exist, Series positions the Rho Engine as a comprehensive, full-stack development platform that manages not just game visuals but audio as well. Modl.ai, for example, is focused on bug detection and game stability, while Muse Chat acts more like an AI assistant. The Rho Engine differentiates itself by offering a more integrated solution for full game creation.

Excitement from Investors

The enthusiasm from investors, including Andreessen Horowitz (a16z), was evident from the start. Investors Joshua Lu and Andrew Chen from a16z expressed excitement about the seed deal, calling Series a “game studio and technology company that is reinventing the future of game development with generative AI.” Their confidence was bolstered by Haritatos’ deep experience and proven track record of being on the cutting edge of gaming innovation.

Haritatos has a long history in game development, from selling his first studio to Zynga after capitalizing on the rise of Adobe’s Flash player in the late 1990s, to eventually leading Snap’s gaming group, developing augmented realtiy and embedded games. His success in leading multiple studios and companies to acquisitions has drawn notable backers to Series, including BITKRAFT and the F4 Fund—both prominent investors in the gaming space.

Series Expands Rapidly

Since the start of 2024, Series has rapidly scaled its operations, growing from 17 employees to over 100, with team members hailing from companies such as Zynga, Machine Zone, Google, and Snap. While Haritatos declined an interview, his emailed statement expressed appreciation for his investors, saying, “We are thrilled that we raised a very successful $28 million Series A during a tough year for funding.”

Valuation and Future Prospects

According to Pitchbook, the Series A funding round was for approximately 15% of the company, placing Series Entertainment’s post-money valuation at around $190 million. The company has not commented on the accuracy of this figure.

AI’s Growing Role in Gaming

The gaming industry is making significant strides with the integration of AI, and platforms like Series AI are leading the charge. The use of AI in game development is transforming how games are created, making them more dynamic and engaging. As AI continues to advance, the potential for highly interactive, immersive worlds will expand, allowing developers to push the boundaries of gaming innovation. Moving forward, the gaming industry’s adoption of AI-driven tools will likely become a major factor in shaping the future of entertainment.