Gaming VC funding drops by 47% in Q2 2025 | Konvoy

Konvoy today released its latest Gaming Industry Report for Q2 2025, showing that venture capital funding in the games industry dropped quarter-over-quarter for that month while private funding rose. The report also covers the recent industry trends, including the launch of the Nintendo Switch 2 and the delay of Grand Theft Auto VI. It also slightly increased its 2025 prediction of the games industry’s revenue to $189 billion.

According to Konvoy’s report, VC funding in the games industry dropped by 47% quarter-over-quarter to $193 million, with growth-stage funding contracting by two-thirds. VC deals have dropped 31% with 60 deals, compared with Q1’s 87. By contrast, private funding has gone up by 66%, with Tripledot’s acquisition of AppLovin accounting for a large portion of it.