Improbable was founded in 2012 by Herman Narula and Rob Whitehead, both Cambridge University graduates who wanted to solve the fundamental technical challenges of building large-scale multiplayer virtual worlds. The London-based company’s core product, SpatialOS, is a cloud platform that enables the creation of persistent online worlds with thousands of simultaneous players and complex simulations.
The company attracted major attention and funding early on. SoftBank’s Vision Fund led a $502 million investment round in 2017, valuing the startup at over $2 billion. This was one of the largest investments in a UK tech startup at the time and signaled serious belief in the metaverse concept years before it became a mainstream buzzword.
SpatialOS works by distributing the computation of a game world across multiple servers simultaneously, allowing for simulations that would be impossible on a single server. This technology has been used in games and defense simulations. However, the path to widespread game industry adoption has been rockier than expected.
A public dispute with Unity in 2019 over licensing terms temporarily restricted SpatialOS users, though the two companies eventually reached a resolution. Improbable has since shifted its gaming focus toward its own studios, including Midwinter Entertainment, which it acquired before later shutting down.
Improbable’s MSquared platform represents the company’s evolution toward broader metaverse infrastructure, providing tools for building interconnected virtual spaces. The company also has a significant defense and government simulation business that leverages the same core technology.
Despite its massive funding, Improbable has yet to deliver a breakout consumer gaming product. The company’s technology is impressive, but the gap between simulation infrastructure and commercially successful games has proven wider than early investors anticipated.
