Hiro Capital, a venture capital firm specializing in the video game and digital sports sectors, has formally announced the launch of its new advisory division. The unit, named Hiro Advisory, was established 18 months ago and is now being publicly introduced to the market. This move signals the firm’s expanded commitment to supporting independent game development studios, particularly within the United Kingdom and European Union.
The division is led by two founding partners. Spike Laurie, who is also a partner at the VC firm, will co-lead the advisory arm. He is joined by industry veteran Mike McGarvey, whose career spans over three decades and includes senior leadership roles at Eidos, where he served as president, CEO, and COO, the early cloud gaming service OnLive, and the quality assurance giant Testronic.
Background and Strategic Focus
Hiro Advisory emerges from Hiro Capital’s direct experience in facilitating studio independence. The venture firm has previously been involved in transactions that enabled developers like The Chinese Room, known for narrative-driven games such as “Everybody’s Gone to the Rapture,” and Bulkhead, the studio behind “Battalion 1944,” to regain their independent status. These experiences highlighted a demand for specialized guidance beyond pure equity investment.
The advisory service is positioned to offer strategic counsel to game development companies. This support encompasses areas such as mergers and acquisitions, fundraising strategies, and general corporate development. The focus is on providing expertise to help studios navigate complex financial and structural decisions.
Market Context and Funding Landscape
The launch occurs within a specific funding environment for the games industry. While venture capital investment in tech sectors has seen fluctuations, Hiro Capital expresses a positive outlook on the funding opportunities available to game developers in the UK and EU regions. The firm points to a robust ecosystem of creative talent and a history of successful game development as key factors in this optimism.
Hiro Advisory aims to bridge a gap for developers who may require experienced guidance but are not necessarily seeking traditional venture capital investment. The service is structured to operate independently yet synergistically with Hiro Capital’s investment activities, allowing it to work with a broader range of clients.
Leadership and Operational Model
Mike McGarvey’s appointment is central to the division’s credibility. His extensive operational background, from publishing to technology and quality assurance, provides a practical perspective on studio management and growth. Spike Laurie’s dual role ensures alignment with Hiro Capital’s overall investment thesis and network.
The advisory division will not function as an incubator or accelerator in the traditional sense. Instead, it is designed as a consultancy offering tailored advice on a project or retainer basis. This model is intended to provide flexible support to studios at various stages of their lifecycle, from early-stage independents to more established companies considering strategic exits or partnerships.
Future Developments and Industry Impact
The formal introduction of Hiro Advisory is expected to be followed by a series of client announcements in the coming months. The division’s performance will likely be measured by its ability to facilitate successful outcomes for its clients, whether through securing funding, navigating acquisitions, or achieving other strategic goals.
Industry observers will be watching to see if this model of separating high-level strategic advisory from direct investment gains traction among other gaming-focused venture firms. The move reflects a maturation in the games investment landscape, where specialized knowledge is increasingly valued as a distinct service. The next steps for Hiro Advisory involve actively engaging with the developer community and building its portfolio of advisory clients, with a continued emphasis on the UK and European markets.
Source: GamesIndustry.biz
