But the recent move of Machine Zone has been met with skepticisms and people now want to know the financial status of the company to determine why it decided to initiate fundraising efforts.
Gabe Leydon, CEO of Machine Zone, responded on a query via e-mail by saying that their company refuses to dignify rumors and speculations about fundraising or valuation by answering or commenting on it. He added that Machine Zone does not need any additional investment and that they are 100% focused on “Game of War: Fire Age.”
Experts believe that if Machine Zone will scale down its very ambitious advertising campaign to just enough or appropriate, the company may no longer require additional funding as latest rumors put it.
This early, many are predicting that Machine Zone will not get its desired new round of investments because deals of such magnitude are quite rare for private game development companies.
One perfect example of buy in investment is the recent acquisition of Japan’s SoftBank of the 23% stake in Supercell, which owns the No. 1 mobile game “Clash of Clans” for $1.2 billion. The sale of the 23% stake in Supercell has raised the value of the company to $5.5 billion despite having only 150 employees and a staggering $1.7 billion worth of revenues in 2014.