Thatgamecompany, the creative force behind celebrated titles such as Flow, Flower, Journey, and the recent hit Sky: Children of the Light, has announced the creation of a new publishing division called Thatgamepublisher. This move follows a growing pattern among successful independent studios that, after scoring a breakout hit, decide to leverage their newfound resources to support other indie developers. Recent examples include Innersloth, the makers of Among Us, which launched Outersloth in 2024 to fund games like Clickolding and The Horror at Highrook; Kinetic Games, known for Phasmophobia, which started Kinetic Publishing and is backing projects such as Precognition by Sam Barlow; Pocketpair, the studio behind Palworld, which introduced Pocketpair Publishing; and Landfall Games, the creators of Peak, which now operate under the Evil Landfall label. The trend reflects a broader shift in the industry where creators who have tasted massive success use their capital and expertise to nurture the next generation of innovative experiences.
Jenova Chen, co‑founder of Thatgamecompany, explains the motivation behind the venture: "When an indie game that started on a shoestring budget suddenly generates a flood of revenue, the team faces a dilemma. You don’t want to explode into a massive corporation overnight, yet you have cash that needs to be put to good use. The logical place to invest is in something you understand deeply—other indie games.
That’s why many indie studios are turning into publishers." The financial landscape was dramatically different when Journey launched in 2012. Chen has recounted that the development of Journey nearly bankrupted the studio, forcing a large portion of the staff to be let go. Fast forward to the present day, 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 stream from Sky now provides Thatgamecompany with the means to fund what Chen describes as "emotionally ambitious" projects, ranging from modest indie titles to games with AA‑level budgets.
Beyond the financial aspect, Chen points out a fundamental change in how games reach players. In the era of Journey, distribution channels were dominated by platform owners like Sony.
Today, the distribution network is effectively owned by the players themselves, who act as influencers and community leaders. A successful indie title can amass millions of dedicated fans who become the most powerful marketing engine, often eclipsing traditional media outlets such as GameSpot, IGN, or even Steam. "If your audience loves a certain style of game, they will actively seek out similar experiences and spread the word organically," Chen notes. Thatgamecompany also highlights a unique demographic advantage: a large portion of Sky’s player base is female, with roughly 70 % of its users identifying as women.
This gender‑balanced audience gives Thatgamepublisher a distinct platform to promote games that appeal broadly across genders, especially titles that might attract players who are new to gaming. According to a press release, Thatgamepublisher has already signed a few projects, though the specifics remain under wraps. Chen articulated the publisher’s philosophy: "When we first started making games, many doubted that interactive experiences could move people as profoundly as film, literature, or music. Over the years, we’ve seen games forge lifelong friendships, help people heal personal struggles, reconnect loved ones, and restore hope.
Those moments convinced us that games can touch lives in deep, meaningful ways. Thatgamepublisher exists to support creators worldwide who are exploring new emotional frontiers in this medium." SJ Xue, Thatgamecompany’s vice‑president of growth and corporate development and the lead for the publishing initiative, elaborated on the type of projects they are seeking.
"We’re looking for games that move people through play," Xue told GamesIndustry.biz. "Genre, platform, or size of the team doesn’t matter. What matters is whether the experience reaches for meaningful emotional territory and uses interactivity to guide players there." Xue clarified that "emotional" can encompass a wide spectrum—from joy and chaos to humor—so long as the experience lingers after the console is turned off.
This focus on lasting impact differentiates Thatgamepublisher from many other indie publishers that primarily target sub‑million‑dollar budgets. While most indie publishing arms operate on a funding‑only model, Thatgamepublisher intends to act as a full‑service partner, offering financing, production planning, platform strategy, marketing, community management, and long‑term IP development. The terms of each deal will be customized.
Xue emphasized that, as former developers themselves, the team understands the importance of fair, transparent, and developer‑friendly agreements. "We can adjust recoup percentages and other financial details to suit the needs of each project," he said. This flexibility extends to the scope of services provided; developers may opt for a modular arrangement—perhaps only needing marketing support—or they may choose a more integrated partnership that covers creative development, production, positioning, community building, and launch strategy.
Luke Keighran, founder of Silver Lining Interactive, recently remarked that the traditional publishing model is essentially dead, with modern publishers offering à la carte services. Thatgamepublisher aligns with this philosophy, positioning itself as a partner that can scale its involvement based on the developer’s requirements while maintaining a cohesive vision for emotionally driven games. Why should developers consider Thatgamepublisher? Xue points back to the core belief that games can forge shared emotional experiences and bring out the best in people.
This conviction has guided Thatgamecompany’s own portfolio—from the meditative flow of Flow and the poetic bloom of Flower to the communal pilgrimage of Journey and the expansive, live‑service world of Sky. The studio’s experience running Sky as a live‑service title with over 300 million downloads and seven years of global operation provides a deep well of knowledge about sustaining emotionally resonant experiences at scale. In summary, Thatgamepublisher aims to nurture games that prioritize emotional depth over conventional metrics. By offering flexible financing, comprehensive production support, and a distribution network powered by an engaged, diverse community, the publisher hopes to help creators bring their heartfelt visions to a worldwide audience while preserving the intimate core that makes each game special.
The initiative signals a new chapter for Thatgamecompany, moving from a singular studio to a catalyst for a broader ecosystem of emotionally ambitious interactive art.