The Transition to Nextbeat
The creators of the popular music rhythm game Beatstar from Space Ape Games have transitioned to a specialist music game company called NEXTBEAT.
This move follows Supercell's full acquisition of Space Monkey Games in November 2024, with the deal expected to finalize in the spring.
Beatstar was launched globally in 2021 after five years of development under Space Ape Games, led by a team that included Simon Heid, the studio's chief operating officer and co-founder, along with Ollie Barnes, who directed music strategy and rights acquisitions.
Barnes, co-founder of Voisey, a music creation app acquired by Snapchat for $70 million in 2020, saw Snapchat sell Voisey in 2022 as part of Snap Inc.‘s large-scale restructuring.
Beatstar is a free mobile game often likened to Guitar Hero and features over 850 music hits worldwide, secured through licensing agreements with major labels, independent publishers, and various rights holders.
Financial Success and Impact
In September 2022, BIE reported that Beatstar had shared US$16 million of its revenue with music labels and publishers in its first year post-launch.
Copyright holders include Universal Music Group, Sony Music Group, Warner Music Group, BMG, Beggars Music Group, and Domino, as well as Kobalt Music Publishing, Concord, Peermusic, Downtown Music Publishing, Reservoir Media, and Music group Bucks.
Recently, Heyde and Barnes announced that Beatstar has achieved nearly 100 million downloads and is anticipated to exceed $200 million in lifetime revenue this year.
“Addressing this huge opportunity now, through a dedicated music venture rather than a traditional mobile game studio approach, makes this partnership an exciting step forward for all parties involved.”
Simon Heid, NEXTBEAT
Under the new arrangement, Beatstar and its country music-focused sequel Countrystar will transition to NEXTBEAT, a new venture based in London, led by Heyde and Barnes.
“As soon as we played the first Beatstar prototype, we knew we had something special that could really break new ground. I look forward to leveraging the momentum of Space Ape’s talented team as NEXTBEAT to expand the possibilities, creating games and apps that highlight the inspiration and creativity of our artist partners,” stated Heyde.
“Addressing this huge opportunity now, through a dedicated music venture rather than a traditional mobile game studio approach, makes this partnership an exciting step forward for all parties involved, and I’m thrilled that the Supercell team shares our ambitious vision.”
This spin-off follows Supercell's initial investment in Space Ape Games, which began with a $56 million controlling stake acquisition in 2017, which increased to 75% ownership in 2022. As Supercell prepares to acquire the remaining shares of Space Ape Games, it will hold a minority position in NEXTBEAT alongside other external investors.
“Beatstar taught us that there is enormous potential for monetization of music in games for every user, far beyond subscriptions to streaming services.”
Ollie Barnes, NEXTBEAT
NEXTBEAT is set to launch in London, employing a 30-member team, primarily consisting of industry veterans from Space Ape Games, with Joe Adams appointed as financial director.
NEXTBEAT reports that the Beatstar franchise has already become the “highest-grossing music game series” in Western markets, receiving recognition from the industry, including Google's Players Choice, Apple Editors' Choice, and Game of the Year at the 2022 Mobile Game Awards.
“Beatstar taught us that there is enormous potential for monetization of music in games for every user, far beyond subscriptions to streaming services. The massive mobile gaming audience and ARPU data generated by Countrystar's genre-focused approach underscore the need to create a fully resourced company dedicated to this opportunity,” remarked Barnes.
Looking ahead, NEXTBEAT plans to develop additional genre-specific gaming platforms while also exploring applications of its expertise in music licensing and game development within the edtech and mental health sectors.
Director of Strategy at Supercell, Janne Snellman, expressed: “We are excited to continue the journey that began with Beatstar and witness the next phase of the music business with the talented team at NEXTBEAT.”
