Saudi game studio Lambda Studios has raised $1.3 million in a funding round led by Merak Capital. The studio will use the money to take its games beyond Roblox and onto platforms including Steam.
Lambda Studios was founded in 2024 by brothers Sari and Firas AlSaedi. The venture began as a passion project nearly a decade ago, built from the living room of their home in Makkah.
From a Makkah living room to millions of players
The studio built its audience on Roblox, where it develops and publishes its own games. Merak Capital says the studio now reaches millions of players, and two of its titles have each passed one million active playtime hours on the platform.
Its best known game is Bizarre Blox, a fighting game built on the Roblox platform. The studio also runs Guess the Drawing and Stay on the Cube, and it offers game development and marketing services to other teams.
Why Merak backed the studio
Merak Capital said it backed Lambda Studios because the studio owns its intellectual property and has grown in a disciplined way. The investor believes those qualities help a studio carry its success from one platform to another.
The new funding will go toward expanding the studio’s games onto Steam and other platforms. The move tests whether an audience built inside Roblox will follow the studio’s games to new places.
Merak keeps betting on Saudi game makers
The Lambda Studios deal is Merak Capital’s latest bet on Saudi gaming. The firm invested $1 million in mobile game studio Floaty in July 2026 through its Merak Gaming Fund.
In August 2026, Merak Capital co-led a $1.45 million round in Majestic Mind Games alongside Impact46. Earlier in the year, it led a $600,000 seed round in Khosouf Studio, a developer of PC, console and virtual reality games.
The Merak Gaming Fund is an $80 million vehicle set up in late 2024 with backing from the Saudi National Development Fund. It focuses on early stage gaming studios that can build competitive games from Saudi Arabia.
A small round inside a big national bet
Saudi Arabia’s National Gaming and Esports Strategy aims to add SAR 50 billion to the country’s GDP and create 39,000 jobs by 2030. The strategy was launched in 2022 to position the Kingdom as a global hub for games and esports.
Lambda Studios is the kind of small studio the strategy depends on. The Kingdom’s big bets get the headlines, but local teams that own their games and find real players are the ones that turn a plan into an industry.
