Yo, what’s this all about, now?
Roblox is a massive multiplayer online game targeted to kids and teenagers ages 8 and up. FYI the name is a combo of robots and blocks. Get it now?
Roblox has added 35 million users since February and now has 150 million monthly active users on its platform. The platform is similar to the App Store—it lets kids build and play their own games. And build they do. There are over 50 million games on the platform and counting.
Kids making games for kids
And that leads us to a big attraction of the platform. Many of the developers making the games are actually kids and teenagers. It’s the best “summer job” for a teen—they can make real money. The way it works is that you monetize through in game purchases using Roblox own virtual currency called Robux.
There are over 4 million developers making games on the platform.
The company paid out $110 million to developers in 2019 and expects to payout $250 million in 2020.
It’s starting to look a lot like Christmas
It seems like the right time to IPO, and so, the company has announced in a confidential filing that it plans to IPO next year.
It could get as high as an $8 billion dollar valuation on going public.
They’re definitely not the only ones trying to build a metaverse. We will feature a story about a smaller startup that is entering this space in a big way in the next issue.