London-based Iconic raises €11 million to build on-device AI platform for next-generation gaming

Iconic, a London-based interactive entertainment and AI-native platform company, has just raised €11 million ($13 million) in seed funding to develop its on-device AI technology for immersive gaming experiences.

The round was co-led by venture capital firms Kindred and Northzone, with additional backing from industry players including the Google AI Futures Fund. The investment also brings together a group of advisers and participants from organisations such as Google, Meta, Disney, DeepMind and OpenAI.

Founded in 2023 by John Lusty and Junaid Hussain, Iconic began as a small technical team exploring how advances in artificial intelligence could enhance creativity and change the way players interact with games. The company has focused on reducing the cost and complexity of game development while expanding creative possibilities for studios. This approach later attracted Andrew Bowell, formerly Product Head at Unity, who joined as CEO.

Iconic’s platform centres on on-device AI technology designed to introduce intelligence, agency and personalisation directly into gameplay. By running models locally rather than in the cloud, the company aims to enable new types of interactive experiences while lowering development costs and avoiding connectivity, privacy and infrastructure constraints.

Earlier this year, Iconic unveiled a demo of its voice-driven narrative puzzle game, The Oversight Bureau. The project showcases the company’s ACT-1 AI platform, which uses a modular, on-device engine allowing spoken player input to influence the game world in real time. Built using small local language models, the technology operates without an internet connection. Since its debut with NVIDIA at Gamescom, the demo has received positive feedback for its level of immersion and responsiveness.

Following early technical validation, Iconic formally launched its platform in 2024 and expanded its team with talent from Unity, Meta, Sony, Microsoft and Cambridge University, as well as contributors with experience on franchises such as GTA and Star Wars. The company is also supported by advisers from technology, academia and entertainment, including representatives from DeepMind, NBCUniversal and Embracer Group.

Andrew Bowell, CEO of Iconic, said, “Our voice-driven gameplay experience is transforming traditional entertainment, utilising novel technology and innovative digital systems to enhance creativity, revolutionise the player experience, and redefine the boundaries of gaming.

We are excited to announce our successful seed round led by Kindred and Northzone, with further support from leading industry players, including Google, a testimony to Iconic building the next iteration of interactive entertainment.”

Iconic plans to use the funding to further develop its on-device AI systems and expand partnerships with game studios interested in building new forms of interactive entertainment driven by intelligent characters and emergent worlds.

The post London-based Iconic raises €11 million to build on-device AI platform for next-generation gaming appeared first on EU-Startups.