In February 2025, the Sumo Group, a UK-based company under Tencent ownership since 2021, declared a significant pivot in its business model. The announcement revealed that the company would now concentrate exclusively on providing development services for partners, halting its in-house game production.
This announcement sparked concern among the staff at Secret Mode, an indie publishing branch owned by Sumo, as they felt uncertain about their future. CEO of Secret Mode expressed that they found themselves in a complicated position, caught between Sumo’s new direction and Tencent’s less defined objectives for Western markets.
Responding to the uncertainty, Secret Mode quickly sought independence. Remarkably, they secured a deal with Emona Capital—an investment firm known for aiding other gaming companies in similar situations—in just a few months. This quick transition was crucial for the team as Sumo faced internal challenges at the time.
However, partnering with a private equity firm is not without risks. Another UK developer found itself in a precarious situation shortly after breaking away from Tencent with private equity backing, announcing job cuts just two months later.
Nonetheless, there was enthusiasm about the partnership with Emona. The collaboration is seen as a way to drive meaningful growth for Secret Mode, which has produced notable titles, including The Chinese Room’s *Still Wakes The Deep* and the successful *A Little to the Left*.
Strategic Moves Ahead
The allure of Secret Mode for Emona seems evident—management sees potential for both short- and long-term growth. The collective energy and mission align with those of Emona, making Secret Mode an attractive acquisition.
In line with its newly independent status, Secret Mode has ambitious plans. The company recently teased its upcoming title, *Star Wars: Galactic Racer,* to be developed by UK studio Fuse Games, comprised of industry veterans from Criterion. This is a significant step for Secret Mode, which has been empowered by Emona to explore larger projects.
Secret Mode is also expanding its team. They started with over 40 team members and are now approaching 55, with plans to hire more. Many new positions aim to fill gaps left by Sumo, while others focus on growing areas like marketing and quality assurance. Having an in-house QA team is a priority, ensuring quality from day one.
This dedication to quality cultivates an environment where early detection of issues can inform major project decisions, as opposed to following budget-driven shortcuts.
Cultivating New Values
Established in 2020 under Sumo, Secret Mode is now in the process of clearly defining its identity as an independent entity. One notable change is the policy of allowing every employee to play games at key development milestones, fostering diverse insights that enhance game development.
Additionally, the team is exploring what makes a Secret Mode game special across a diverse catalog that includes action RPGs, cozy builders, and even a football-themed deck builder. The goal is to ensure each title resonates with authentic narratives and personal inspirations.
Secret Mode’s strategy also highlights targeting niche markets, where there is often less competition and more opportunity for visibility in an oversaturated gaming landscape. Niche genres attract fervent fanbases, allowing more focused marketing efforts.
“Competitive gaming doesn’t mean audiences won’t explore new offerings,”
With *Star Wars: Galactic Racer,* Secret Mode identified a gap in the racing genre, recognizing that there’s a robust market for fresh experiences beyond established franchises.
For newer developers, the traditional pitch model is evolving. Proof of concept is now essential, even if it’s just a prototype, as many successful collaborations stem from games already in early access or nearing completion.
Funding and Future Growth
Funding is crucial, with Secret Mode set to finance projects with budgets up to $1 million for new and unreleased games. Engaging with established developers, particularly those working on popular licenses, could lead to funding reaching several million.
Looking toward the future, there’s a critical need for the gaming industry to adapt its development path. Lengthy development cycles must shorten if companies wish to remain relevant in an ever-shifting market.
Ongoing investment activity signifies a commitment to the gaming industry, affirming that now might be the ideal time for investment, as the market stabilizes from previous overvaluation peaks.
In summary, the transformation of Secret Mode from a Sumo subsidiary to an independent publisher is a tale of rapid adaptability and a quest for authenticity in gaming, while navigating a complex landscape of investment and emerging opportunities.
Key Takeaways
- Secret Mode’s journey highlights the importance of adaptability in the gaming industry.
- The indie publisher is actively growing its team to enhance its offerings.
- Investors are seeing potential in unique niche markets as robust opportunities.
- Quality assurance is taking center stage in game development.
- Evolving gaming narratives appeal to diverse audiences, as demonstrated in their latest titles.
- Understanding audience engagement beyond mere sales metrics provides deeper insights for decision-making.