In a significant shift in its gaming strategy, Netflix has announced the acquisition of Ready Player Me, an Estonia-based avatar creation platform. The streaming giant revealed its plans to leverage the startup's development tools and infrastructure to enable Netflix subscribers to create personalized avatars, allowing them to carry their unique personas and fandom across various games.
While the financial terms of the deal remain undisclosed, Ready Player Me had previously secured $72 million in venture funding from prominent investors, including a16z, Endeavor, Konvoy Ventures, Plural, and angel investors who co-founded companies like Roblox, Twitch, and King Games.
Netflix confirmed to TechCrunch that Ready Player Me's team of approximately 20 individuals, including founders Rainer Selvet, Haver Jarveoja, Kaspar Tiri, and Timmu Toke, will be joining the company. The streamer has not yet provided an estimated timeline for the avatar launch, nor has it detailed which games or types of games will first integrate the new avatar functionality.
Following the acquisition, Ready Player Me will cease its independent operations, with its services, including the online avatar creation tool PlayerZero, winding down on January 31, 2026.
"Our vision has always been to enable avatars and identities to travel across many games and virtual worlds," stated Ready Player Me CEO Timmu Toke. "We've been on an independent path to make that vision a reality for a long time. I'm now very excited for the Ready Player Me team to join Netflix to scale our tech and expertise to a global audience and contribute to the exciting vision Netflix has for gaming."
Netflix's Evolving Gaming Strategy
This acquisition underscores Netflix's changing approach to the gaming market. Four years ago, when the company first ventured into gaming, it primarily offered mobile games to its subscribers, accessible via their Netflix accounts. At the time, Netflix positioned gaming as another content category, akin to its expansions into original films, animation, and unscripted television.
Under the leadership of former VP of Games Mike Verdu, who previously worked at EA and Kabam, Netflix acquired numerous gaming studios and licensed various titles. However, this strategy yielded mixed results. While some high-profile titles like GTA: San Andreas garnered attention, many others remained largely unknown. The company recently announced the departure of the GTA game, alongside dozens of other titles, and has also closed or returned many of its studio acquisitions to their founders.
Netflix had acknowledged from the outset that its foray into gaming was an experiment, necessitating adaptation as it learned what resonated with its audience.
As part of its strategic realignment, Netflix appointed Alain Tascan, formerly of Epic Games, as its President of Games last year. Verdu, who had transitioned to VP of generative AI for games, departed seven months later. Under Tascan's leadership, Netflix has expanded its gaming lineup for TV, focusing on party games, kids' games, narrative-driven experiences, and more mainstream titles.
Recently, the streamer launched a suite of party games for TVs and mobile, including Netflix Puzzled and PAW Patrol Academy, alongside titles like WWE2K25, Red Dead Redemption, and Best Guess, a live party game featuring hosts Hunter March and Howie Mandel with a $1 million jackpot. This week, Netflix also announced a new FIFA title slated for TV release in time for the 2026 World Cup.
At TechCrunch Disrupt's event this October, Netflix CTO Elizabeth Stone revealed the company's plans to introduce interactive real-time voting for live content. This feature is currently being tested with a live cooking show and will soon be integrated into the reboot of the talent show "Star Search." This move mirrors how the traditional TV industry embraced mobile, interactive experiences through audience voting for shows like "American Idol" or "Love Island."
The ultimate challenge for Netflix remains convincing its audience—traditionally accustomed to passive, lean-back viewing—to embrace its brand for interactive activities like gaming. The success of this evolving strategy is yet to be fully determined.
