We bought shares in Epic Games, a leading interactive entertainment company, operator of Fortnite, and provider of the Unreal Engine, which powers the world’s leading games as well as industrial simulations.

We think that Epic has a gigantic opportunity to thrive in the future internet. There, we are unlikely to conduct affairs while staring at a 5.7 x 2.8-inch two-dimensional box. Our experience of the network will be largely immersive, and our physical self will be better represented in a virtual space. This is a natural continuous development from text to image, to video and augmented reality. And from mainframes, to PC, to mobile, to virtual reality.

History shows that the dominant operating systems of the old medium seldom rule the new. The leading operating systems of autonomous cars as well as the metaverse are likely to be new businesses. As a gaming company, Epic has a fine position to expand; what else can you do in a game? One can walk out of a virtual soccer stadium and start to develop a 3D representation of a social space where the activities we can engage in are continuously expanding and include education, exploration, and enterprise. For instance, in August, Ariana Grande’s concert in Fortnite was attended by millions of people.

We believe that today’s ad-laden walled gardens will be mostly replaced by free spaces in which people interact in a more open and playful way. Today, millions of creators are building products and businesses in those virtual worlds. Those virtual and physical interoperating economies can be called the metaverse.

Our investments in Roblox and Epic Games, amongst others, give us a share of the wealth that is going to be created here. This article in the Washington Post gives some insight into Epic’s vision.

Yesterday, Facebook’s platforms disappeared from the Internet. We are co-owners of Cloudflare and its team wrote an interesting blog about what happened.

These days, we are closing another pre-IPO investment in a great data & AI business.