UAE-based game developer Khosouf Studio has secured a significant $600,000 seed investment from Saudi Arabia's Merak Capital. This funding facilitates the studio's strategic relocation to the Kingdom, marking a key development in the region's burgeoning gaming industry. The move aligns with Saudi Arabia's ambitious goals to establish itself as a global powerhouse in interactive entertainment.
Strategic Investment for Regional Growth
The SAR 2.2 million investment originates from Merak Capital’s specialized Gaming Fund, which was launched in 2024 with a substantial $81 million corpus. Delivered in partnership with the National Development Fund, its primary mission is to empower promising early-stage gaming studios. The fund specifically targets developers focused on creating original intellectual property that can compete on a global scale.
This capital injection is earmarked to fuel Khosouf Studio's expansion as it transitions its operations to Saudi Arabia. The relocation is a pivotal step that will allow the studio to scale its development capabilities and contribute directly to the local ecosystem. This move supports the Kingdom's objective to cultivate a self-sustaining and innovative environment for game development.
Aligning with Vision 2030
This partnership is a direct reflection of Saudi Arabia's Vision 2030, which outlines a national strategy to become a leading global hub for gaming. By attracting international talent and fostering local studios like Khosouf, the Kingdom aims to diversify its economy and capture a significant share of the global interactive entertainment market. The investment underscores a commitment to building a robust infrastructure for the industry's long-term growth.
Abdulelah Alshareef, Principal of Venture Capital at Merak Capital, emphasized the strategic fit of this investment. He stated that Khosouf Studio embodies the type of globally-minded developer the fund seeks to support, praising its creative and technical capabilities. Alshareef reiterated the goal of accelerating the creation of world-class gaming IP from within Saudi Arabia.
Khosouf Studio's Creative Portfolio
Founded in 2020 by Ahmad Al-Natsheh, Khosouf Studio has quickly established itself by developing premium, narrative-driven titles. The company specializes in creating immersive experiences for PC, console, and virtual reality platforms, demonstrating a versatile development approach. Beyond gaming, the studio also provides high-end VR services, including interactive simulations and educational solutions for various clients.
The studio's portfolio includes the award-winning debut title "BOX to the BEAT VR," which has received international recognition. Currently, the team is in production on two new original IPs: "The Panic Pit" and "Glitch Core," a cooperative first-person shooter. These projects highlight the studio's commitment to building unique and engaging gaming worlds for a global audience.
Ahmad Al-Natsheh, Founder and CEO of Khosouf Studio, described the investment as a "game changer" for the company's future. He expressed that the partnership with Merak Capital will elevate their ambitions and help establish a long-term base in the Kingdom. This support provides the confidence needed to scale operations and publish locally developed titles across the world.
The $600,000 seed funding for Khosouf Studio represents more than just a financial transaction; it signifies a strategic alignment of talent and capital within the Middle East's gaming sector. As the studio relocates to Saudi Arabia, this partnership is poised to accelerate its growth while simultaneously bolstering the Kingdom's Vision 2030 objectives. The collaboration promises to enrich the regional ecosystem and introduce new, compelling intellectual property to the global stage.