Turkish mobile game startup Agave Games has raised $18 million in Series A funding, further solidifying Turkey's position as a hub for gaming startups. The funding round, led by Felix Capital and Balderton Capital, with participation from E2VC, brings Agave's total funding to $25.5 million and values the company at around $100 million.

Agave Games' success can be attributed to its hit mobile game, Find the Cat, which has crossed 10 million downloads in its first quarter of life since its release in August. The game's popularity is a testament to the growing demand for casual mobile games, which continue to attract huge audiences and revenues. One investor likened Agave Games to Tripledot, a successful casual mobile game maker that has raised significant funding at a high valuation.

The funding will be used to expand Agave's team and develop new titles, with at least two more games in the pipeline for the next year. This rapid growth is reminiscent of other successful Turkish gaming startups, such as Peak Games, which was acquired by Zynga for $1.8 billion in 2020. Peak's alumni have gone on to form Dream Games, which raised $255 million, Tripledot, and Spyke, which raised $50 million earlier this year.

Agave Games' story is unique in that it is not a direct offshoot of Peak Games, but rather an indirect connection through its CEO, Alper Oner. Oner, who studied computer engineering at UC Berkeley, returned to Turkey during the COVID-19 pandemic and teamed up with his high school friends to start Agave Games. They chose to focus on casual games due to their own gaming interests and the potential for significant impact.

Find the Cat's success is a result of the company's ability to refine the formula for making casual games. Unlike Rovio, which created 51 games before hitting it big with Angry Birds, Agave Games' second title, Find the Cat, has been a massive hit. The game generates revenue through in-app purchases and in-app advertising, using AppLovin like many other casual game developers.

Oner revealed that the company uses AI extensively in the creative process, leveraging it to generate initial pictures that are then polished by human artists. While AI is not used for coding, Oner hinted that Agave Games may explore AI-fueled personalization in the future.

Rob Moffat, the partner who led the investment for Balderton, expressed confidence in Agave Games' potential, citing the sticky gameplay and encouraging signals. "They're building this really strong team working on a bunch of interesting concepts, finding these interesting mechanics for games and making them into a really polished, fun experience. We are backing the capability they've built to be able to do that."

With this funding round, Agave Games is poised to become a major player in the casual mobile gaming space, further solidifying Turkey's reputation as a hub for gaming startups. As the company continues to expand and develop new titles, it will be interesting to see how it leverages AI and other technologies to stay ahead in the competitive gaming industry.