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Smilegate

Smilegate is a South Korean video game company founded on June 11, 2002, by and headquartered in , . The company specializes in developing and publishing online games across PC and mobile platforms, with a focus on first-person shooters, MMORPGs, and games, while also expanding into (IP) expansion, investments, and social impact initiatives. Its flagship title, , a multiplayer released in 2007, has achieved global dominance with over one billion registered users and more than $13.5 billion in lifetime revenue, primarily driven by its massive popularity in following a 2008 partnership with . Under Smilegate Holdings, the company operates several subsidiaries, including Smilegate Entertainment (focused on FPS and action games like ), Smilegate RPG (developers of MMORPGs such as , which peaked at 1.32 million concurrent users), and Smilegate Investment (a arm supporting startups in and ). Other notable titles include the mobile RPG , which ranks among the top 10 revenue-generating games in key global markets including , the , and , and , an MMORPG launched in 2024. In 2025, Smilegate expanded with the global launch of LordNine and strategic investments in international studios like Absurd Ventures. Beyond gaming, Smilegate pursues IP diversification into entertainment sectors like animation and film, alongside philanthropic efforts through the Smilegate Foundation, which emphasizes IT education in underserved regions. The company's vision as a "Mega Value Innovator in Entertainment" drives its mission to "share joy today for a better tomorrow," with annual revenues exceeding 1.5 trillion KRW (approximately $1.1 billion USD) as of 2024, reflecting sustained growth in a competitive .

Overview

Founding and leadership

Smilegate was founded on June 11, 2002, in , , by as a specializing in online . , born in 1974 in , , graduated from Sangsan High School and earned a in from . After a brief stint with a failed educational startup called 4Csof, he declined a position at to pursue opportunities in the gaming industry. Kwon Hyuk-bin's vision for Smilegate centered on developing immersive and engaging multiplayer gaming experiences, which prompted the establishment of dedicated internal development teams from the outset. This focus on collaborative online gameplay laid the groundwork for the company's early projects in the competitive PC gaming sector. As the founder, has retained full ownership of Smilegate Holdings, holding a 100% stake as of 2023. In his role as (CVO) of Smilegate Holdings, Kwon oversees the strategic direction of the group, with key leadership figures in major subsidiaries reporting directly to the holdings entity. For instance, CEOs such as Sung Joon-ho, CEO of Smilegate Holdings, manage operational aspects of their respective divisions while aligning with the overarching vision set by Holdings. The company later relocated its headquarters to , and expanded to approximately 3,300 employees by 2023.

Operations and financial performance

Smilegate is headquartered in Pangyo, Seongnam, South Korea, following a relocation to the region's techno valley to leverage its status as a hub for IT and gaming innovation. The company maintains a global footprint with offices in North America through Smilegate West (based in Toronto, Canada), as well as in China and Southeast Asia, to support international expansion and localization efforts. The company's core operations encompass game development, publishing, and servicing, spanning PC, mobile, console, and emerging platforms such as VR. These activities focus on creating and distributing intellectual properties that deliver engaging experiences, with a strong emphasis on first-person shooters and MMORPGs, while integrating advanced technologies like AI for enhanced user interaction. In 2022, Smilegate Holdings reported revenue of 1.577 trillion KRW, operating profit of 643 billion KRW, and net income of 63.3 billion KRW, reflecting its position as a leading player in the global gaming sector. In 2023, revenue was 1.381 trillion KRW with operating profit of 490.5 billion KRW, and in 2024, revenue reached 1.552 trillion KRW with operating profit of 514.6 billion KRW. The company employed approximately 3,300 people as of 2023, supporting its diverse operations across development and support functions. Revenue primarily derives from in-game purchases in free-to-play titles like Crossfire, bolstered by strategic partnerships such as the long-term collaboration with Tencent for Crossfire's distribution in China, which has generated substantial earnings. Additionally, Smilegate is diversifying through IP extensions, including animations like the Crossfire series adapted for platforms such as Prime Video, to broaden monetization beyond core gaming.

Corporate structure

Parent company

Smilegate Holdings serves as the parent of the Smilegate Group, established on April 19, 2005, to centralize operational control, streamline investments, and facilitate expansion into non-gaming ventures beyond the core gaming operations founded in 2002. This structure was formed to manage the growing portfolio of subsidiaries as the company scaled, enabling unified governance and resource allocation across diverse business units. The holding company is owned 100% by founder as of October 2025, who maintains control over strategic decisions. However, an ongoing proceeding filed in 2025 may affect this ownership, with his spouse seeking half of the shares. Its primary responsibilities include portfolio management to oversee subsidiary performance, funding allocations for internal projects and acquisitions, and strategic oversight for diversification into adjacent sectors like and . For instance, Smilegate Holdings has invested in AI-driven solutions, including a 30 billion won Series A funding round for Quantit to advance AI-based services. In , it operates through Smilegate Asset Management, which launched the AI-powered investment platform Moneytoring in 2025 to enhance B2C . Key initiatives under Smilegate Holdings emphasize social impact and innovation, notably through the Smilegate Foundation (also known as Hope Studio), which focuses on social contributions such as supporting creativity, startup ecosystems, and programs for future generations. The foundation promotes participatory models for , including donation platforms integrated with and educational initiatives to foster . These efforts align with the holding company's broader role in providing strategic support to subsidiaries like Smilegate RPG and Smilegate via global investment arms such as Smilegate Investment.

Subsidiaries and divisions

Smilegate's subsidiaries and divisions form a diverse organizational framework that supports specialized functions in game development, publishing, technology innovation, investment, and global operations, enabling comprehensive control over its entertainment portfolio. Smilegate Entertainment, the primary development division, specializes in games and oversees operations for , the company's flagship title launched in 2007. Established as part of the core company founded in 2002, it has driven much of Smilegate's early success in the genre through ongoing updates and global service management. , dedicated to developing large-scale MMORPGs, was established in to focus on ambitious projects like Lost Ark. This handles high-production-value titles aimed at international audiences, leveraging advanced and open-world mechanics to expand Smilegate's presence in the genre. Smilegate Megaport functions as the main publishing arm, managing third-party titles and mobile games, including Epic Seven developed by Super Creative, another subsidiary acquired in 2019. Formed to capitalize on the mobile market boom, it has been restructured to enhance global distribution and creator support, notably integrating indie ecosystems through platforms like Stove Indie. Smilegate Stove operates as a digital distribution platform and launcher, central to Smilegate's PC gaming ecosystem by enabling seamless access to titles, community features, and live streaming for users worldwide. Launched to unify game services, it supports cross-platform engagement and has become key for titles like Crossfire. Other notable subsidiaries include Smilegate Realies, which explores VR/AR technologies and media adaptations through joint ventures like Smilegate-Realies Pictures for IP expansion into film.; Smilegate AI, focused on integrating artificial intelligence into games and services to create engaging, human-like experiences.; Smilegate Investment, the venture capital arm that funds promising startups and contents industry ventures to foster ecosystem growth.; Orange Planet, a foundation supporting startup incubation with an emphasis on social impact and innovative IP development.; and Smilegate West, established in 2006 to handle publishing and operations in North and South American markets, specializing in free-to-play online games. Collectively, these over 10 subsidiaries promote synergies across development, publishing, and ancillary services, allowing Smilegate to achieve while diversifying beyond core into , , and investments.

History

Early years (2002–2006)

Smilegate was founded on June 11, 2002, in , , by , at a time when the nation's online sector was experiencing explosive growth driven by widespread adoption and a burgeoning culture. The Korean market contributed significantly to the global online industry's value of $2.06 billion that year, with leading in engagement and infrastructure. , a self-taught developer passionate about interactive entertainment, established the company to explore innovative digital experiences amid this dynamic environment. The early team consisted of a small group of developers under Kwon's , prioritizing in multiplayer and online to differentiate from existing offerings. With an initial focus on prototypes, the group invested resources in networking technologies essential for stable online play, laying the groundwork for scalable multiplayer systems. Funding came primarily from internal sources, as Kwon bootstrapped operations with modest early capital, including a temporary $2.6 million infusion from a Seoul-based that he later repurchased to retain full control. This self-reliant approach allowed flexibility but constrained rapid scaling in the resource-intensive development landscape. Key milestones during this period included forging initial partnerships across to test and refine prototypes, which provided critical feedback and validation without external dependencies. However, Smilegate encountered substantial challenges from fierce competition by dominant firms like , whose established titles and market share overshadowed newcomers in the saturated online gaming arena. These pressures resulted in bootstrapped, lean operations and moments where the studio teetered on the brink of closure, testing the team's resilience until stability emerged by 2006. By late 2006, these foundational efforts positioned Smilegate for a pivotal shift toward core project advancement and preparations for relocation to to support anticipated expansion.

Crossfire era and expansion (2007–2017)

Smilegate launched on May 3, 2007, marking the company's entry into the (FPS) genre and establishing it as South Korea's first major domestic hit in the category. Despite initial competition from established titles, the game quickly gained traction through its accessible model and competitive multiplayer features, achieving 1 million concurrent users within its first year. This rapid adoption in the Korean market provided Smilegate with a foundational platform for broader ambitions, surpassing early expectations and solidifying the company's reputation in online gaming. To capitalize on Crossfire's momentum, Smilegate formed a key partnership with in 2008 for the game's launch in , leveraging Tencent's QQ platform to integrate social features and reach a massive audience. The Chinese version exploded in popularity, driving global user growth and leading to over 8 million concurrent users worldwide by 2017, with significant milestones including 2 million in 2010 and 3.2 million in 2011. This collaboration not only dominated the Asian market but also facilitated entries into (such as , , and ), , and through localized publishing deals, like the 2011 European release by SG Interactive. By the mid-2010s, Crossfire had amassed over 650 million registered users globally, underscoring Smilegate's successful international scaling. The surge in Crossfire's performance fueled Smilegate's financial expansion, with the game generating approximately $1.1 billion in annual revenue by and , rising to $1.4 billion in , and contributing to cumulative sales of nearly $10 billion by 2018. These earnings enabled substantial company growth, including employee expansion from a few dozen in the early to over 700 by and the relocation of operations to a larger headquarters in to support scaling. Funded by this success, Smilegate began initial diversification efforts by , prototyping mobile game developments such as early work on Epic Seven, while forming subsidiaries like Smilegate Entertainment to handle global operations.

Diversification and recent milestones (2018–present)

In 2018, Smilegate marked a significant pivot toward genre diversification by launching two major titles that expanded its portfolio beyond first-person shooters. Lost Ark, an action MMORPG developed by subsidiary Smilegate RPG, entered open beta in on November 7, followed by its full release on December 7, establishing Smilegate's foothold in the PC MMORPG market. Simultaneously, Epic Seven, a turn-based from Smilegate Megaport, launched globally on November 8, capitalizing on the rising dominance of mobile gaming and achieving top sales rankings in shortly after release. These releases represented Smilegate's strategic entry into high-growth segments, broadening its appeal from core PC audiences to mobile users worldwide. Smilegate accelerated global expansion in the early , leveraging partnerships to penetrate Western markets. Lost Ark debuted in and on February 11, 2022, published by and available on , where it quickly amassed over 1.3 million concurrent users and 20 million total players by March. This deal underscored Smilegate's focus on international IP scaling, with the game also launching in and prior to the West. In 2022, coinciding with its 20th anniversary on June 11, Smilegate highlighted its balanced portfolio of Crossfire, Epic Seven, and Lost Ark as the foundation for sustained growth, initiating events like OST concerts for Lost Ark (attracting 210,000 online viewers) and e-sports tournaments for Epic Seven with a $50,000 prize pool. These efforts emphasized IP adaptation across media, including a Crossfire-themed drama series and theme park developments. Recent milestones reflect Smilegate's continued innovation and partnerships amid evolving industry dynamics. In July 2024, Smilegate released LORDNINE: Infinite Class, a cross-platform MMORPG in South Korea, which topped app store sales charts and expanded globally to Asian markets on July 31, 2025, introducing flexible class systems and PC-mobile play. In December 2024, Smilegate made a strategic investment in Absurd Ventures, the studio founded by former Rockstar co-founder Dan Houser, to co-develop and publish an upcoming AAA open-world sci-fi title, enhancing its Western presence. By August 2025, this partnership formalized global publishing rights for the project. At Tokyo Game Show 2025, Smilegate showcased Chaos Zero Nightmare, a dark fantasy roguelike deck-builder RPG, featuring playable demos that blended sci-fi and eldritch horror elements, signaling ambitions in mobile and narrative-driven genres. Chaos Zero Nightmare was released on October 22, 2025. Broader diversification efforts have extended Smilegate's scope beyond gaming revenue, which historically relied heavily on . Through its Orange Planet Startup Foundation, established to foster innovative ventures, Smilegate has invested in IP creation across animations, webtoons, dramas, and movies since 2022, supporting startups with funding and incubation to build transmedia ecosystems. The company has also pursued integration, including developments in technologies and virtual artists like 'YuA', as part of its evolution into a global entertainment entity. These initiatives, alongside multi-genre game releases, have diversified revenue streams, with total sales exceeding 1 trillion KRW by 2021 and operating profits recovering to around 500 billion KRW in , driven by and contributions.

Games

Crossfire series

CrossFire is a free-to-play online tactical first-person shooter developed by Smilegate Entertainment, where players join one of two opposing mercenary factions—Global Risk or Black List—in team-based multiplayer matches. The core gameplay emphasizes fast-paced combat across various modes, including team deathmatch, search and destroy, and elimination, with objectives that require coordinated tactics such as capturing points or defusing bombs. Weapon customization allows players to modify firearms through attachments, skins, and engravings, enhancing personalization and performance in battles, while clan systems enable group formation for cooperative play, tournaments, and shared progression. Launched in South Korea on May 3, 2007, the game quickly established itself as Smilegate's flagship title, blending accessible entry with depth for competitive players. The CrossFire series has expanded beyond the original PC title into several variants, maintaining the franchise's military theme while exploring new genres and platforms. CrossFire: Legion, a real-time strategy spin-off released in 2022, shifts focus to commanding units in large-scale battles across futuristic warzones, developed by Blackbird Interactive and published by Smilegate in partnership with Prime Matter. CrossFire: Sierra Squad, launched in 2023 for VR platforms, delivers an arcade-style shooter experience with single-player and co-op missions emphasizing elite squad tactics and destructible environments. On mobile, CrossFire: Legends adapts the core FPS mechanics for touch controls, featuring PVP modes and developed by Tencent's TiMi Studio with Smilegate overseeing the intellectual property. The original PC version continues to receive regular updates, including seasonal events with new maps, weapons, and holiday-themed content to sustain player engagement. Commercially, has achieved massive global success, particularly in , where it dominates markets through partnerships like Tencent's publishing in . As of 2025, the franchise boasts over 1.1 billion registered users worldwide and has recorded peak concurrent players exceeding 8 million, underscoring its enduring popularity in over 80 countries. This scale has generated substantial revenue, with cumulative sales exceeding $13 billion as of 2024, driven by in-game purchases and regional expansions. Development of the CrossFire series is primarily managed by Smilegate Entertainment, which handles core updates, IP extensions, and global operations from its Seoul headquarters. The franchise integrates deeply with esports, featuring major tournaments like the CrossFire Stars series and a new three-year partnership with the Esports World Cup starting in 2025, offering multimillion-dollar prize pools to professional teams. Merchandise extensions include official apparel, collectibles, and in-game tie-ins available through Smilegate's online shop, further engaging the community beyond digital play.

Lost Ark

Lost Ark is an isometric action massively multiplayer online role-playing game (MMORPG) co-developed by Tripod Studio and Smilegate RPG. The title launched in on November 7, 2018, where it quickly gained traction among players. For its global release, published the game in Western markets, including and , on February 11, 2022. The game's core features include a vast spanning seven continents, filled with instanced dungeons, cinematic quests, and exploration elements such as to discover unique islands. Players engage in class-based combat with over 15 customizable classes, emphasizing real-time action mechanics, skill rotations, and cooperative play. Endgame content revolves around challenging raids, including Guardian Raids and Abyss Dungeons, which require coordinated team strategies and progression through gear honing systems. The game supports continuous expansions, introducing new mechanics like progression events and quality-of-life improvements to sustain long-term engagement. Upon release, Lost Ark achieved significant milestones in player engagement, recording over 350,000 concurrent users in shortly after launch, marking it as the highest for a MMORPG at the time. Its global debut in 2022 saw a peak of 1.325 million concurrent , securing the second-highest record on the . The game earned critical acclaim, winning six awards, including the Grand Prize, at the 2019 Korea Game Awards for its innovative and service quality. As a title, it generates revenue primarily through cosmetic items and the optional Ark Pass system, which offers progression rewards and exclusive skins without impacting core balance. Smilegate RPG has provided robust post-launch support, delivering regular updates with new continents, raids, and events to expand the Arkesia world. In 2023, the Rowen continent was introduced, featuring faction-based storylines and progression challenges. The 2024 added the North Kurzan continent, Tier 4 endgame content, and events like the Arkesia to aid player advancement. Looking to 2025, updates include the Rimeria continent, Yornujan Island, Kazeros Raid expansions, and anniversary celebrations with progression events such as the Kazeros Challenge. These additions ensure ongoing narrative depth and mechanical evolution for both new and veteran players.

Epic Seven

Epic Seven is a turn-based (RPG) developed by Smilegate subsidiary Super Creative and published by Smilegate Megaport. It launched in in August 2018 and globally on November 8, 2018, across and platforms in over 140 countries. The game marked Smilegate's push into mobile diversification following its PC-focused titles, integrating seamlessly with the company's platform for enhanced user engagement and cross-service features. The gameplay centers on strategic turn-based combat in an -inspired , featuring fully animated cutscenes and skill effects that emphasize visual spectacle. Players summon through a system, building teams for story-driven campaigns that unfold a about the Heir of the battling ancient evils. Additional modes include PvP arenas for competitive battles, activities, and challenging raids, all designed to reward tactical depth and character progression over time. The art style draws heavily from aesthetics, with vibrant character designs and dynamic animations that set it apart in the mobile genre. Epic Seven has achieved substantial market success, consistently placing in the top 10 for revenue in key markets including , the , and , with over 28 million downloads worldwide as of October 2025. It garnered six awards at the 2019 , recognizing its excellence in storytelling, visuals, and gameplay innovation. The title maintains a strong user base in and the West, bolstered by its accessible yet deep mechanics that appeal to both casual and dedicated players. The game receives regular updates to sustain player interest, including new hero releases with unique abilities and story integrations, as well as quality-of-life improvements such as refined summoning mechanics and event optimizations. Collaborations have been a highlight, starting with in 2019 and extending to anime crossovers like in September 2025, which introduced themed heroes and limited-time events. Through 2025, developer notes emphasize ongoing balance adjustments and content expansions to support long-term progression.

Other titles

Smilegate's portfolio extends beyond its flagship titles to encompass a variety of niche and emerging games across genres, demonstrating its commitment to diverse publishing and development efforts. Among its early niche offerings, stands out as a casual originally released in 2005 and published by Smilegate, featuring fairy tale-themed characters and multiplayer racing mechanics that have attracted over 17 million users worldwide. In 2018, Smilegate Megaport launched Arcane Straight: Summoned Soul, an arcade-style card battle that introduces strategic poker-like combinations in a fantasy setting, drawing from characters in the Tap! Tap! Faraway Kingdom series. The following year, in 2019, Smilegate developed and released , a where players navigate a medieval as a stealthy thief, emphasizing cunning evasion and puzzle-solving in a immersive environment. Recent releases highlight Smilegate's focus on innovative RPGs through partnerships. In 2025, Smilegate published LORDNINE: Infinite Class, an MMORPG developed by NX3GAMES, offering over 60 switchable classes in a freedom-themed with on mobile and PC. Building on this, Chaos Zero Nightmare, a deck-building developed by Super Creative, launched in October 2025 under Smilegate's publishing, featuring dark narratives, cancel-driven combat, and procedural runs set on a . Looking ahead, Smilegate has secured a global publishing deal with Absurd Ventures for an untitled open-world sci-fi , announced in August 2025 and set in the studio's "A Better Paradise" , marking a significant entry into high-budget Western-style development expected post-2025. 2, a multiplayer shooter developed by Veewo Games, entered global in July 2025 via Smilegate, expanding on its predecessor's chaos with up to four-player co-op and unlimited item synergies. Additionally, Stove-integrated titles like Cooking On : TinyTAN, launched in May 2025 by Smilegate Megaport, blend casual cooking simulation with BTS-themed characters, allowing players to manage global restaurants on Smilegate's Stove platform. This diversity in Smilegate's secondary titles includes FPS spin-offs from established series, mobile ports of , and third-party publishing initiatives handled by its Megaport, which supports and global releases to broaden the company's . These efforts tie into Smilegate's recent diversification strategy, enhancing its role beyond core genres.

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