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K2 Network Bags $16 million In Extra Funds

by Rainier on June 18, 2007 @ 9:01 a.m. PDT

K2 Network announced that the company has closed a $16 million Series B round of venture capital led by Intel Capital. The funds will be used to further develop and internationally market and grow its portfolio of Free2Play multi-player online games.

Intel Capital was joined in this funding by new investors Greycroft Partners, Khosla Ventures and Novel TMT Ventures as well as returning investors BV Capital and mvp Capital. The online gaming industry has grown rapidly in recent years and is forecasted to hit $13 billion by 2011 according to DFC Intelligence. With its plans for international expansion, key portfolio acquisitions and more, K2 Network is poised to be a significant player in that growth

“K2 Network has demonstrated leadership in this market with its innovative business acumen to build a gaming company that is focused on service-oriented architecture,” said Joshua Hong, CEO and Co-founder of K2 Network. “K2 Network is in a position to take some major steps in growth and market share and we are glad Intel Capital, as a strategic investor, is supporting us as we write the next exciting chapter in our company’s history.”

“The online gaming market segment is experiencing tremendous growth supported by multiple revenue models from subscription, free to play, advertising supported to micro-transaction and virtual currency,” said Alexander Marquez, director of strategic investments for Intel Capital. “K2 Network’s extensive gaming knowledge along with its unique Free2Play model is well positioned to capitalize on this exciting opportunity in interactive entertainment.”

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