[StartupRecipe] Korean Game Startups Face Sharp Decline in Funding

Access to the latest Korean startup news and startup database for free

#Weekly Funding Overview

[Dec. 30~ Dec. 3]

Company	Inudustry	Amount	Round	Investors
Actibrain Bio	Medical AI	-	Grant	TIPS
ABETTER	eCommerce Solutions	-	Grant	Scaleup TIPS
THREE LABS	Liquor Ordering Platform	-	Grant	TIPS
Wemeet Mobility	Logistics Optimization Solutions	-	Grant	Scaleup TIPS
BeNature BioLab	Bio	-	Grant	Deeptech TIPS
pillsang	Anti-Phishing	-	Grant	Deeptech TIPS
ROLLING SEEDS	Edutainment content	-	Grant	TIPS
Fifth Dimension	Digital twin	-	Grant	Deeptech TIPS
Lowlit Collective	Climate tech	-	Grant	TIPS
OPAQUE	design	-	Grant	TIPS
Ingkle	Bigdata	-	Grant	Scaleup TIPS
COLON30	Online art trading platform	-	Grant	TIPS
GLiNS	Mobility	-	Grant	Deeptech TIPS
yatavent	Mental Health	-	Grant	TIPS
PLASADE	Plasma agricultural production	-	Grant	TIPS
millennialsworks	AI Virtual avatar	-	Grant	TIPS
EHAN CREATIVE	Edtech	-	Grant	TIPS
Bearable	Edtech	-	Grant	TIPS
bsone	Secondary battery	-	Grant	TIPS
RETEL SEMICONDUCTOR	PMIC	-	Grant	TIPS
GUHADA	Cross-Border Middleware	-	Grant	Scaleup TIPS
Quad Medicine	Healthcare	7 billion	Pre IPO	Shinhan Venture Investment, Horizon Investment, Aon Investment, Kaik2 Ventures, MMS Ventures, Yonsei University BioHealth Technology Holding Company
Gadget Korea	Data roaming	6 billion	Series A	Murex Partners, IBK Industrial Bank, Nice Investor Putners-SK Securities, KB Securities-Kyros
SoulX	XR	-	Seed	JeJu CCEI, MYSC
Synth Note	Fintech	-		SEOUL CCEI
JSR Medical	Healthcare	5.5 billion	Series A	Korea Development Bank, Smilegate Investment
Maze	Vision AI	-	Seed	WOW
PNK Art	ART	-		PG Ventures
BARIM	ART	-		PG Ventures
Mobiltech	Lidar	3 billion		CJ Investment
I1LAB	Drone	-	Seed	Gyeonggi CCEI
HMBZ	Collaboration tool	-	Seed	Primer
Charmacist	Healthcare	-		Big Move Ventures
Munice	Sleeptech	2.2 billion	Pre-Series A2	Schmidt, Z Venture Capital, Samsung Next
AGATHON BIO	BIO	6 billion		Korea Investment & Securities, Company K Partners, Quad Asset Management, KD Investment,
Iconic Movement	Digital media content	-	Series A	K-Bridge Investments, Penture investment, MYSC
SIA	satellite imagery analysis	10.7 billion	Pre IPO	JB Investment
Imagoworks	Healthcare	23 billion	Series C	Stick Ventures, K2 Investments, TS Investments, Tri-Anchor Capital Group, LB Investments, Company K Partners
FORETELL MY HEALTH	Healthcare	-	Seed	Cnttech
Graphy	3D Printing	5 billion	Pre IPO
Motnany Market	Food	-	Seed	Company A
ROUTE FINDERS	Solution for visually impaired	-	Seed	Infobank, Gyeonggi CCEI, Findus
Value of Space	Proptech	4.5 billion	Series A Bridge	Comes Investment, Hyundai Investment Partners, Korea Investment Partners, KB Investment

#Major Funding

• Imagoworks raised 23 billion KRW in Series C funding. As an AI-powered digital dentistry solutions provider, the company has secured customers from 110 countries worldwide and accumulated 38 billion KRW in total investments. The funding will be used to accelerate global expansion and strengthen R&D capabilities
• QuadMedison secured 7 billion KRW in pre-IPO funding. As a medical microneedle platform specialist, the company has raised a total of 35 billion KRW to date. The funds will be used to complete ongoing clinical trials as the company aims for KOSDAQ listing in 2025
• SIA secured 10.7 billion KRW in funding. As an AI-based satellite image analysis company, SIA provides services across various sectors including defense, meteorology, and agriculture. The company plans to use the funding for AI technology advancement and IPO preparation

#Trend Analysis

Korean Game Startup Funding Continues to Decline

Korean game startup funding has been on a steady decline since 2022. According to data from Startup Recipe, capital inflow into the sector totaled just 131.9 billion won in 2024—an even lower figure than in 2023, which had already seen a 50% drop compared to 2022. Venture capital investment, in particular, experienced a sharp downturn. Government data shows that only 1.9% of venture capital investments during the first half of 2024 were directed toward the gaming sector. This decline is attributed to both the overall slowdown in the investment market and the inherent risks of game startups, which face uncertain success rates and extended recovery periods.

Despite some positive developments—such as Shift Up’s IPO following three years in the industry—there were also setbacks. Haegin, which had previously achieved unicorn status, reported restructuring efforts and financial losses. No game startup secured investments exceeding 100 billion won in 2024. The largest funding round went to Big Game Studio, raising 57 billion won.

In terms of investment stages, early-stage funding dominated the landscape. Seed investments accounted for more than half of the total, while Series B and later-stage investments were nearly absent. Additionally, investments from large corporations and established gaming companies, which once played a significant role in funding startups, were scarce.

However, despite the downturn in domestic investment, the global gaming market is projected to grow to 500 trillion won by 2027, presenting significant opportunities for the industry. To capitalize on this growth, Korean startups must focus on developing strategies aimed at the global market.

The government has unveiled several initiatives to bolster the gaming sector. The Korea Creative Content Agency has confirmed a gaming budget of 63.2 billion won and plans to enhance support for console and indie games, signaling continued efforts to nurture the industry despite challenging conditions.