Thatgamecompany, the creative force behind celebrated titles such as Flow, Flower, Journey, and the more recent Sky: Children of the Light, has taken a decisive step beyond development by establishing its own publishing division, aptly named Thatgamepublisher. This move mirrors a growing pattern in the indie ecosystem where studios that have scored a breakout hit leverage their newfound capital and industry clout to nurture other independent creators.
In recent years, several notable examples have emerged: Innersloth, the team behind the viral sensation Among Us, launched Outersloth in 2024 and has already backed projects like Clickolding and The Horror at Highrook. Earlier this year, Kinetic Games—known for the spooky co‑op title Phasmophobia—started Kinetic Publishing, adding Sam Barlow’s newest brain‑teaser Precognition to its roster.
Pocketpair, the developers of the whimsical survival‑craft game Palworld, introduced Pocketpair Publishing, while Landfall Games, the studio behind the chaotic multiplayer brawler Peak, rolled out the Evil Landfall label. The trend is clear: successful indie studios are increasingly turning into publishers to amplify voices that share their artistic sensibilities. Jenova Chen, co‑founder of Thatgamecompany, explains the logic behind the shift. “When an indie game that was built on a shoestring budget becomes a massive hit, you suddenly have a surplus of cash,” he says.
“But we’re not interested in ballooning into a thousand‑person corporation. Instead, we want to channel that money into something we truly understand—other indie games. It’s a natural extension for us, and that’s why many indie studios are following suit.” The financial reality was far different when Journey launched in 2012. Chen has recounted to GamesIndustry.biz that the ambitious project nearly drove the studio to bankruptcy, resulting in a wave of layoffs.
In contrast, Sky: Children of the Light, released in 2019, has become a global phenomenon, especially in the Chinese market, and even inspired a feature‑film adaptation. The revenue generated by Sky now provides Thatgamecompany with the resources to fund what Chen describes as “emotionally ambitious” games, a phrase that captures the studio’s core philosophy of creating experiences that resonate on a personal level.
Distribution dynamics have also shifted dramatically. In the era of Journey, the primary channels for reaching players were controlled by platform holders such as PlayStation. Today, Chen points out, “the distribution network belongs to the players themselves, who act as influencers.” A successful indie title can now amass millions of dedicated fans who become organic ambassadors, often outweighing traditional media outlets like GameSpot, IGN, or even Steam in terms of reach.
This democratization of distribution gives indie publishers a powerful lever: they can tap directly into passionate communities that are eager for new, emotionally rich experiences. Another unique advantage Thatgamecompany brings to the table is its demographic reach. Chen notes that roughly 70 % of Sky’s player base is female—a statistic that far exceeds industry averages.
“If we highlight a game that appeals equally to men and women, we’re speaking to an audience that includes many people who have never played games before,” he explains. This gender‑balanced community opens doors for titles that might otherwise be pigeonholed into niche categories. While Thatgamepublisher has kept its initial slate of signed games under wraps, Chen outlined the publisher’s overarching vision in a recent press release: “When we first started making games, many doubted whether interactive experiences could move players as deeply as film, literature, or music.
Over the years, we’ve witnessed games forge lifelong friendships, heal personal struggles, reconnect loved ones, and restore hope. Those moments convinced us that games can touch lives in profound ways. Thatgamepublisher exists because we believe countless creators worldwide are exploring new emotional frontiers, and we want to help them bring those visions to life.” SJ Xue, Thatgamecompany’s Vice President of Growth and Corporate Development and the driving force behind the publishing initiative, elaborated on the type of projects they are hunting for. “We’re looking for games that move people through play,” Xue told GamesIndustry.biz.
“Genre, platform, or label doesn’t matter. What matters is whether the experience reaches for meaningful emotional territory and uses interactivity to carry players there.” He emphasized that “emotional” can encompass joy, chaos, humor, or melancholy, but the common thread is the lingering impact after the console is turned off.
In contrast to many indie publishers that focus primarily on sub‑million‑dollar budgets, Thatgamepublisher is prepared to back larger endeavors. Xue clarified, “We are flexible regarding funding and project scale.
Whether you’re a solo developer with a wildly creative concept or a larger team aiming for a AA‑level budget, we want to work with you.” The specifics of each deal—such as revenue share and recoup terms—will be tailored to the needs of the individual project, reflecting the studio’s developer‑first mindset. Thatgamepublisher distinguishes itself by offering a full‑service publishing model.
The company will provide not only capital but also production planning, platform strategy, launch support, marketing, community management, and long‑term IP development. This comprehensive approach contrasts with other indie publishers like Outersloth or Evil Landfall, which often adopt a modular, funding‑only model.
Luke Keighran, founder of Silver Lining Interactive, observed earlier this year that “the old‑school publishing model is dead; developers now pick and choose the services they need, whether it’s marketing, console conversion, or funding.” Xue echoed this sentiment, noting that Thatgamepublisher can craft modular agreements that align with each developer’s unique requirements. For projects with an emotional core, Xue believes an integrated partnership yields the most value. “Creative development, production, positioning, marketing, community, and platform strategy are deeply interconnected for emotionally ambitious games,” he says. “Being involved across those areas lets us protect the emotional heart of the game and help the team carry that vision all the way to players.” Ultimately, the goal is to meet each project where it stands and shape the collaboration around what will be most beneficial for the developer.
Why should developers consider signing with Thatgamepublisher? Xue points to the studio’s founding philosophy: games can forge shared emotional experiences that bring out the best in people. He notes that this belief has guided every title Thatgamecompany has created—from the meditative Flow and the delicate Flower to the pilgrimage‑like Journey and the communal Sky. “We know this path is larger than any single studio,” he says.
“Creators worldwide are pushing the boundaries of what games can make us feel, and we want to help those ideas reach players.” According to Xue, emotionally ambitious games often require a different playbook. The core feeling of a project may not be evident at the outset; it can emerge through prototypes, iteration, quiet discoveries, and the right creative conversations. Thatgamepublisher aims to safeguard that process, offering developers the space, guidance, and alignment needed to uncover the strongest version of their work.
Drawing on its experience running Sky: Children of the Light—a live‑service title that has amassed over 300 million downloads and operated globally for seven years—Thatgamecompany believes it understands how to scale heartfelt experiences without diluting their impact. “By grasping the emotional truth of each game, building from its community, and allowing genuine resonance to create scale over time, we aim to help every project reach farther while staying true to the feeling at its heart," Xue concludes. In summary, Thatgamepublisher represents a new chapter for Thatgamecompany, merging its legacy of emotionally resonant game design with a full‑service publishing framework.
By offering flexible funding, tailored support, and a deep appreciation for the emotional potential of interactive media, the studio hopes to empower a new generation of indie developers to craft experiences that linger long after the screen goes dark.