As of 2023, Roblox has a roughly $38 billion net worth.
Roblox, developed by Roblox Corporation, is the most popular online gaming platform. David Baszucki and Erik Cassel developed it in 2004. Both programmers had prior experience with developing simulation physics for both 2D and 3D platforms and were interested in making simulation software that wasn’t enterprise-specific.
My name is Almira Lopez; I act like a CMO and think like a boss. I’m a Metaverse marketing strategist, and this is the best place for you to learn about Metaverse and how to market it all. So if that sounds good to you, you’re excited?
So, let’s get started!
What is Roblox?
Regarding online gaming, Roblox is a top choice for kids and teens.
Roblox is the closest thing to the 0.01 version of the multi-layered, user-generated video game platform seen in Ready Player One. For those who have yet to see the movie, Roblox is an MMO website where users can build virtual communities and share their creations with others.
In 2004, David Baszucki and Erik Cassel founded the company, and in September 2006, the game was released to the public.
Roblox was initially limited in functionality; Baszucki and Cassel expanded the platform’s potential. However, as new features were implemented, designers could create gameplay systems and virtual environments.
Roblox is a great game, but it pales in comparison to the popularity of Minecraft. Roblox’s best feature is encouraging its users to design and distribute their games. Users can also check out games developed by popular Roblox developers. This article provides more detail on the history, current state, and anticipated release date of the online gaming platform Roblox.
The ability to convert Robux, Roblox’s virtual currency, into real money was a game-changing addition to its developer program in 2013. Since its inception, Roblox has steadily increased its annual payout to developers, reaching $280 million in 2024.
Roblox is now available on all mobile platforms, though Xbox One users must deal with new, more stringent restrictions. It also has a VR version available for Oculus Rift and HTC Vive.
Despite Roblox’s existence for over a decade, the platform has only recently gained widespread popularity. Its user base has grown from 35 million to 150 million in a few years, with an additional 50 million joining during the coronavirus pandemic.
Remarkable Facts About Roblox
To get you started, here is an overview:
- Roblox is now worth more than $38 billion.
- In 2021, Roblox reported nearly $2 billion in earnings.
- Every month, Roblox attracts more than 202 million unique users.
- The majority of Roblox users (67%) are minors.
- More than 9.5 million programmers are currently using the Roblox platform.
Roblox’s future lies in furthering the game’s infrastructure. Baszucki, in an opinion piece for Wired, predicted the arrival of a “metaverse” where “millions of people will meet virtually for more than just gaming,” analogous to the setting of the novel Ready Player One. Baszucki considers Roblox an entry point into this novel virtual environment.
Also Read: Top 10 Chinese Chinese Metaverse Companies
The Secret to Roblox’s Freemium Success
Although Roblox can be downloaded and played without cost, it does feature optional in-app purchases. Robux (the game’s virtual currency) can be purchased with real money, and then those Robux can be used to acquire in-game cosmetics and other items. Roblox Corporation’s main source of income comes from this, and it has proven to be quite successful.
The company has seen great success with this strategy. It is estimated that Roblox has earned its creators more than $2 billion in revenue since its release in 2005. While there is only one game in the Roblox universe, the many minigames and other user-generated content have contributed to its meteoric popularity.
According to market capitalization estimates, Roblox is now one of the world’s most valuable gaming companies. Roblox made more than $1.91 billion in 2021. Developers work on the platform to make games that users enjoy. In addition, their hard work is recognized and rewarded. Over $328 million has been made by the Roblox team.
General Facts About Roblox
Daily Active Users
About 32.6 million people were using Roblox every day in 2020. They formerly devoted 2.6 hours per day to playing on various electronic devices. However, only 25 million people around the world play Fortnite.
Every month, Roblox attracts more than 202 million unique users. Compared to 2018, this is a 30% increase. Daily active users account for 43% of the total 202 million users on the platform. Wow, that’s a huge crowd! It’s no surprise that Roblox is expanding so rapidly, given the sheer number of its active users. All of these statistics point to a bright future for Roblox. The business is doing something right because it shows no signs of slowing down.
Also Read: How to Start Metaverse Marketing Agency?
Roblox Corporation Reported Revenues of Nearly $2 Billion in 2021
Net income increased from $923 million in 2020 to $1.9 billion in 2021. These figures show that Roblox is not only successful financially but also very successful commercially.
In March of 2021, Roblox completed a direct listing on the NYSE, marking its entry into the public markets. Roblox was valued at $38 billion when the gaming company raised $535 million. And it shows how confident investors are in the company’s future.
It’s not just the total earnings that are remarkable. This is also how Roblox produces it. Roblox’s primary source of revenue is not the sale of games or in-game items as most video game companies do, but rather advertising.
Roblox was also the sixth most downloaded gaming app in the United States.
Why Do You Think Robolox has Worked So Well?
This is more than a game; it’s a sandpit for game developers. Roblox is a blank slate upon which users can build their games.
Roblox Studio allows anyone to make their interactive worlds and games, which can then be published on the platform and made available to millions of users simultaneously.
As many as 20 million developers working on Roblox each year contribute to the company’s optimistic market valuation. While most video games quickly go out of style, the Roblox community will always create new games. The “precarious playbour” of Roblox’s creators is good for business, as described by games scholar Julian Kucklich.
What Would the Stock Price of Roblox Be?
Let’s think back to Roblox’s last private round valuation as a starting point. Crunchbase said Roblox was valued at $3.9 billion before receiving its $150 million Series G funding. After the February 2020 funding event, Roblox was estimated to be worth $4.05 billion.
What Does a Company’s Market Cap Mean?
A publicly traded company’s worth is measured by its market capitalization or Marketcap for short. This is a simple calculation assuming you know the share price and the number of outstanding shares.
Roblox Submits SEC Paperwork.
There will inevitably be some silence following an agreement’s finalization. Let’s return to the fourth quarter of 2019 and imagine what Roblox was like then. Here are its S-1’s quarterly 2019 results:
- Sales of $138.3 million, up 44.2% from last year.
- Increase of +197.1% from the same period last year to a net loss of $39.6 million
- In terms of revenue multiples, Roblox was valued at 7.3x its annualized top line around the time it raised Series G. Annualizing that revenue figure, Roblox was on a $553.3 million run rate.
Roblox Playtime With an Audience
Engagement hours are the total time users spend interacting with Roblox. Very few people played Roblox when it first came out in 2006. The number of hours users spend actively engaged on the platform has increased dramatically since 2016.
- In the second quarter of 2021, Roblox saw 9.73 billion hours of user engagement (An increase from 2.1 billion vs. early 2018).
- In fact, in the first two quarters of 2021, Roblox saw an increase of 1.3 billion hours of engagement.
How Many Times Does One Typically Play Roblox in a Day?
On average, Roblox’s DAUs spend 2.6 hours per day playing the game. The number of playable games is called “experiences” on Roblox. There are more than 40 million games on Roblox, the company claims.
Also Read: Can we Develop Metaverse Without Blockchain Technology
Which Roblox Games are the Most Played?
Adopt Me! is the most popular adoption profile. It is right now Roblox’s most played game. Tower of Hell, MeepCity, and Brookhaven are a few of the other popular choices.
Revenue Generation of Roblox
Users contribute to Roblox’s offers by purchasing Robux, paying for access to Roblox Premium, and delivering a commission to Roblox’s developer community.
The primary revenue generator for Roblox is the use of its virtual currency (Robux). Robux can be acquired and used within the system. And converted to fiat money on a private currency exchange (US dollars).
While most Roblox experiences (games) are free, some optional extras may be purchased for a small fee.
Users can acquire Robux through the following:
- Unique acquisition
- Roblox Paid Account (subscription)
Programmers and artists can get paid in Robux by:
- Making money off of the game and feature access
- Rewards for active participation
- Content and tool sales between programmers
- Making money off of Roblox Avatar Marketplace customers.
- On Roblox, creators receive 70% of all revenue from game sales. Roblox will keep 70% of the profits.
- Roblox keeps 70% of each sale made through the Avatar Marketplace, while the creator receives 30%.
Roblox Mobile Revenue Worldwide
In Q3 of 2020, users spent $308 million on Roblox via mobile devices. The company reports that Roblox’s mobile revenue has skyrocketed over the past few years. Roblox’s mobile revenue was just over $100 million in the first three months of 2019, compared to less than $20 million in all of 2016.
My research on Roblox statistics for 2023 is now complete. Their user base is expanding. And people are spending more time on the platform, playing and making games. Their progress as a publicly traded company should be fascinating to observe.
I look forward to hearing your thoughts and opinions now.
Do you think that Roblox is overpriced? Too little?
Or perhaps we overlooked some key data.
Feel free to share your thoughts either way below.