Inside the Skillz Developer Accelerator: Why $75M is Up for Grabs for Game Studios
Written by Michail Katkoff, founder of Deconstructor of Fun and a games industry veteran with 15 years of experience in building, operating, and scaling games and game companies.
The gaming industry is no stranger to ambitious bets, but few are as bold as Skillz’s $75 million Developer Accelerator. Under the leadership of co-founder and CEO Andrew Paradise, Skillz is making a high-stakes play to redefine the competitive gaming landscape.
From funding innovative game studios to pushing the boundaries of skill-based monetization, the initiative aims to bring fresh talent and new game genres into Skillz’s ecosystem. But what’s the core thesis behind this move? What’s the size of the real-money skill gaming market? And what lessons can we learn from Andrew Paradise’s journey from startup founder to public company CEO? Let’s dive in.
The Core Thesis Behind the Skillz Content Fund
At its heart, the Skillz Developer Accelerator is designed to nurture studios capable of building high-quality, skill-based games. Historically, the platform has been associated with casual games like solitaire and bingo, but the fund signals a shift toward both more diverse and complex genres as well as more casual ones—think RTS, and FPS titles as well as the current selection of hybrid casual games.
The big question is: can competitive real-money gaming work outside of its traditional casual confines?
According to Paradise, the next big skill-based game could emerge from a genre previously unexplored in this space. He draws a parallel to battle royale games, which didn’t exist as a mainstream genre before PUBG and Fortnite revolutionized the industry. Skillz is betting that a developer will crack the code for a genre that hasn’t yet been optimized for competitive, real-money play.
The accelerator isn’t just about capital; it provides developers with operational resources, LiveOps expertise, and marketing support. Skillz is essentially saying: “You bring the fun, and we’ll handle the rest.” With experience managing nine-figure user acquisition budgets and scaling successful titles, the company believes it can offer a superior alternative to traditional mobile game monetization models.
The Real-Money Skill Gaming Market: A Massive Opportunity
Skillz games are available on the App Store, Galaxy Store and the web.
Skill-based gaming is still a relatively young sector, but its growth trajectory is undeniable. According to research from Fortune Business Insights, the market was valued at $31 billion in 2022 and is expected to reach $85 billion by 2030, growing at a 13% annual rate. That’s $55 billion in new market opportunity over the next six years.
While North America currently dominates the sector with 28% market share, there’s significant room for expansion in regions like Western Europe and LATAM. Paradise sees skill-based gaming as a more globally scalable and legally permissible alternative to traditional gambling. Unlike gambling, which relies on chance, skill-based gaming operates under a legal framework where outcomes are determined by player ability—making it compliant even in regions with strict gaming regulations.
From a business perspective, the revenue potential is substantial. The lifetime value (LTV) of a skill-based gaming user can range from $20 to well over $100, significantly outpacing ad-supported mobile games. This monetization model attracts a different kind of player—one who is willing to pay for competition and prizes, creating an ecosystem that generates higher revenue per user compared to free-to-play models reliant on ads or in-app purchases.
Andrew Paradise’s Journey: From Startup to Public Company CEO
In 2020 Skillz went public with a valuation of $3.5 Billion
Skillz’s trajectory hasn’t been a straight shot to success. Paradise founded the company over 13 years ago, and along the way, it faced multiple near-bankruptcies, market skepticism, and the challenge of proving that skill-based monetization could be a sustainable business model.
In the early days, convincing investors that skill-based gaming could be a billion-dollar industry was a massive hurdle. At the time, market analysts projected the industry’s total value to be just a few hundred million dollars. Today, Skillz is a public company with over $300 million on its balance sheet, operating in a sector that has exploded in value.
But going public wasn’t without its challenges. Paradise noted that the transition from startup CEO to a public company executive required a fundamental shift in responsibilities. Instead of being deeply involved in product and engineering, his role became more focused on strategic leadership, investor relations, and managing Wall Street expectations. Public markets bring additional pressures—quarterly earnings, regulatory scrutiny, and the constant evaluation of stock performance—which can change a company’s internal culture and decision-making processes.
Despite the ups and downs, Paradise remains optimistic about the future of Skillz. With the Developer Accelerator in full swing, the company is positioning itself to lead the next phase of growth in skill-based gaming. The focus now is on attracting top-tier developers and proving that real-money gaming can succeed in new and unexpected genres.
How to Secure Funding from the Skillz Accelerator
For developers looking to secure funding through the Skillz Developer Accelerator, here are key steps to improve their chances:
Showcase a Strong Track Record: Having experience in live game operations and proven success in previous titles can boost credibility.
Develop a Unique Concept: Skillz is looking for new genres and fresh takes on skill-based gaming. Proposals should demonstrate originality and market potential.
Present a Skill-Based Gameplay: A well-thought-out plan on how the game will resonate with skill-gaming audience, and how the core game will potentially evolve over time, is crucial.
Demonstrate Retention Potential: High Day 1 (D1) and Day 7 (D7) retention rates are critical metrics that Skillz evaluates.
Include a Marketing and UA Plan: Skillz supports user acquisition, but developers should have a strategic approach to audience growth.
Prepare for LiveOps Execution: Skillz prioritizes developers who understand the importance of ongoing content updates and engagement strategies.
Leverage Skillz’s Platform Strengths: Highlight how the game will benefit from Skillz’s infrastructure, analytics, and managed hosting solutions.
Final Thoughts
Skillz’s $75 million bet isn’t just a fund—it’s a statement about the future of gaming. By expanding beyond casual skill games and pushing into new genres, Skillz is attempting to redefine competitive gaming and real-money monetization.
With a rapidly growing market, a proven monetization model, and the backing of a seasoned public company, the Skillz Developer Accelerator has the potential to shape the next wave of successful mobile games. For developers, the message is clear: if you have a game idea that could thrive in a competitive, skill-based environment, Skillz is willing to back you.
