Thatgamecompany, the creative force behind acclaimed titles such as Flow, Flower, Journey, and the recent hit Sky: Children of the Light, has announced the formation of a new publishing division called Thatgamepublisher. This move follows a growing pattern among successful indie studios that, after scoring a breakout hit, choose to leverage their newfound resources to back other independent developers.
Recent examples include Innersloth’s Outersloth, which debuted in 2024 and now supports games like Clickolding and The Horror at Highrook; Kinetic Games’ Kinetic Publishing, home to projects such as Precognition from Sam Barlow; Pocketpair’s Pocketpair Publishing; and Landfall Games’ Evil Landfall label. The trend reflects a belief that studios with deep industry knowledge can most effectively nurture the next wave of innovative experiences. Jenova Chen, co‑founder of Thatgamecompany, explains the rationale behind the shift: "When an indie title takes off, the revenue often exceeds what a small team can realistically spend on expanding its own staff.
Rather than ballooning into a large corporation, many creators prefer to reinvest in projects they understand and love. Funding other indie games becomes a natural extension of that philosophy." Chen recalls that the studio’s earlier masterpiece, Journey, nearly pushed the company to the brink of insolvency, forcing a wave of layoffs. The financial landscape has since transformed dramatically. Sky: Children of the Light, launched in 2019, has become a global phenomenon—particularly in the Chinese market—and even inspired a feature‑film adaptation.
The sustained profitability of Sky now gives Thatgamecompany the capital to pursue what Chen describes as "emotionally ambitious" games, ranging from modest indie endeavors to titles with AA‑level budgets. Beyond the financial shift, Chen notes a fundamental change in how games reach audiences.
In the era of Journey, distribution channels were dominated by platform holders such as PlayStation. Today, the distribution landscape is largely owned by players themselves, who act as influencers and word‑of‑mouth marketers.
"A successful indie title can amass millions of fans who become its most powerful promotional engine," Chen says. This democratization means that studios with a dedicated community can effectively self‑publish, but it also opens the door for them to act as publishers for like‑minded creators.
Another distinctive advantage Thatgamecompany brings to the table is its unusually large female player base—approximately 70 % of Sky’s users identify as women. Chen believes this demographic gives the studio a unique perspective on games that appeal across gender lines, especially for titles that attract newcomers to gaming. "When we highlight a game that resonates with both men and women, we tap into an audience that often hasn’t experienced many games before, creating a special overlap," he explains.
While specific projects under Thatgamepublisher remain under wraps, the publisher’s mission statement, released alongside the announcement, underscores a commitment to emotional storytelling. "When we first started making games, many doubted that interactive experiences could move players as profoundly as film, literature, or music.
Over the years, we have witnessed games forge lifelong friendships, heal personal struggles, reunite families, and restore hope. Those moments convinced us that games can touch lives in deep, lasting ways. Thatgamepublisher exists to help creators around the world explore new emotional frontiers and bring those visions to life," the statement reads.
SJ Xue, Thatgamecompany’s vice‑president of growth and corporate development and the leader of the publishing effort, elaborates on the types of projects the studio is seeking. He emphasizes that genre, platform, or team size are not primary criteria; instead, the focus is on whether a game can "move people through play" and leave a lasting impression after the console is turned off. "Emotional" can encompass joy, chaos, humor, or any feeling that lingers beyond the final frame.
If a prototype or concept strives for that lingering impact, Xue says the publisher is eager to start a conversation. Unlike many indie publishers that limit themselves to funding smaller titles—often under $1 million—Thatgamepublisher is prepared to support larger, more ambitious productions.
Xue explains that the company’s funding model is flexible, accommodating solo developers with breakthrough ideas as well as larger teams working with AA‑scale budgets. Contract terms, including revenue splits and recoupment percentages, will be tailored to each project's specific needs, reflecting the studio’s own experience as developers who value transparent, equitable partnerships.
Thatgamepublisher will operate as a full‑service publisher, offering not just capital but also production planning, platform strategy, marketing, community management, and long‑term intellectual‑property development. This comprehensive approach differentiates it from other indie publishers that may provide only financing or adopt a modular service model. Luke Keighran of Silver Lining Interactive notes that the traditional publishing model is fading, with developers now able to pick and choose the services they require. Xue concurs, stating that While modular options are available, the studio often prefers integrated partnerships for emotionally driven projects, where creative development, production, positioning, marketing, community engagement, and platform strategy are tightly interwoven.
The overarching philosophy guiding Thatgamepublisher is rooted in the belief that games can forge deep emotional connections and bring out the best in people. Chen reflects on how this ethos has shaped every title the studio has released, from Flow and Flower to Journey and Sky. He adds that the company’s seven‑year, 300‑million‑download run with Sky has taught them how to scale heartfelt experiences without diluting their core emotional impact.
By understanding each game's emotional truth, building on its community, and allowing genuine resonance to drive growth, Thatgamepublisher aims to help creators reach broader audiences while staying true to the feeling at the heart of their work.