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Digital Chocolate
Video game developer and publisher specializing in casual and social games for the web, Facebook, and mobile phones.
About Digital Chocolate
Digital Chocolate, Inc. was a video game developer and publisher founded in October 2003 by Trip Hawkins, an iconic figure in the gaming industry who also founded Electronic Arts (EA) and The 3DO Company. Hawkins, who previously served as Director of Strategy and Marketing at Apple, leveraged his extensive experience, including a Harvard degree in Strategy and Applied Game Theory, to target the emerging market for mobile games. The company was established following the failure of Hawkins' previous venture, The 3DO Company, with an initial focus on developing titles for Java ME-based feature phones.
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The company's business model centered on the development and publishing of casual and social games for mobile, web, and later, Facebook. It generated revenue through partnerships with over 200 web and mobile channel partners across 80 countries. Digital Chocolate became a prominent player in the transition to freemium and virtual goods-based monetization, especially on the Facebook platform. The company's strategy also involved offering free-to-play versions of its games on the web to upsell users to premium mobile versions. Over its lifetime, the company raised a total of approximately $60 million in funding from investors including Intel Capital, Kleiner Perkins, Sutter Hill Ventures, and Bridgescale Partners.
Digital Chocolate developed over 100 award-winning games, gaining recognition for titles like *Tower Bloxx*, *Tornado Mania!*, *Millionaire City*, *Zombie Lane*, and *Army Attack*. The company achieved significant milestones, leading all software companies in App Store downloads in 2009 and becoming a top-five global games publisher on Facebook in 2010. The company expanded its global presence by acquiring European developer Sumea in 2004, which became its Helsinki studio, and Sandlot Games in 2011. However, the company's heavy reliance on the Facebook platform proved to be a vulnerability. As Facebook altered its policies on game virality, Digital Chocolate's user base and revenue declined. In May 2012, Trip Hawkins stepped down as CEO, and the company announced significant layoffs and studio closures. Subsequently, the company began to sell off its assets. In 2013, its Barcelona studio and the *Galaxy Life* IP were sold to Ubisoft. By April 2014, its remaining core Facebook games, including *Millionaire City* and *Zombie Lane*, were licensed to RockYou, and the company officially ceased operations.
At a glance
- Status
- Operational
- Founded
- 2003
- Headquarters
- San Mateo, United States
- Employees
- 80
- Open positions
- None listed
- Dealroom signal
- 72.9/100
- Industry
- Gaming
- Sub-industry
- Mobile Gaming, Console & PC Gaming
- Sector
- Consumer Services, Video Games, Browser Games, Game Development, Hard Tech
- Technology
- Virtual Reality
- Client focus
- b2c
- Investment activity
- 1 company, latest Aug 2011
- Capital deployed
- —
- Preferred round
- ACQUISITION
Latest news
Press, funding announcements and product moves mentioning Digital Chocolate.
Funding history
Company financing events and reported valuations.
| Deal type | Date | Amount | Valuation | Investors | Source |
|---|---|---|---|---|---|
| DEBTDebt | Jan 2012 | $5M | — | Undisclosed | — |
| SERIES DOther financing | Feb 2011 | $12M | $48M | Sutter Hill Ventures · Intel Capital · Bridgescale Partners | — |
Growth signals
Latest recorded traffic for Digital Chocolate is 650 monthly website visits, down 33.7% over the last three months. Digital Chocolate's team grew 1.3% over the past year.
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Investments and acquisitions
Recent portfolio relationships for companies that also act as investors or acquirers.
Investors
From Dealroom's funding and investor records, grouped by the round each investor first entered.
Series A4 investors entered at this stage
Sequoia
Kleiner Perkins
Chengwei Capital
Sutter Hill Ventures
Series B and later7 investors entered at this stage
Bridgescale Partners
Accel- OVOutlook Ventures
Glynn Capital Management
DN Capital
Greenspring Associates
Intel Capital
Source: Dealroom Talent Intelligence.
Global footprint
team presence
Market sentiment
An AI-synthesised read of the highest-engagement posts about Digital Chocolate on X, ranked by likes and reposts, corporate channels excluded.
Reading the room on X — pulling top posts and synthesizing themes…
Source: X recent search ranked by engagement (likes + retweets) · Synthesis by Claude · Cached for 1 hour
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