Orange County’s growing role in the virtual reality industry got another boost last week, as an early-stage firm with domestic operations here that operates a handful of VR-powered entertainment venues announced a $7.8 million round of funding.
Tyffon Inc., a self-described “immersive entertainment company” with offices in Japan and Irvine, said it received the first tranche of its Series A financing in the funding deal, which was led by Tokyo Broadcasting System, operator of the Japan News Network.
Other investors include Sega Sammy Holdings, Mizuho Capital, Tokyu Recreation, Canal Ventures, and Walt Disney Co. (NYSE:DIS).
The latest deal brings its total funding up to $12 million, the company said.
Tyffon is a graduate of the Disney Accelerator, a 5-year-old entertainment-focused startup incubator run by Burbank’s Walt Disney Co. and based in Los Angeles.
The company got its start making apps, but has since moved on to making “Tyffonium” venues, which employ VR technology and multisensory effects in sites where customers can roam freely in the fantasy and horror-themed attractions.
Its goal is for customers to “experience hyper-real immersive environments together, socially.”
It has two venues in Tokyo, and a third is in the works there as well. Offerings in Japan include a mixed reality horror experience called “Corridor,” and a fantasy ride on a floating ship called “Fluctus.”
Its first U.S.-based Tyffonium will open later this year in the Los Angeles area, it said this week. A Santa Monica location appears likely, according to trade publications.
The company was initially registered with the state as being based in Santa Monica while part of the Disney Accelerator. Its website now lists a coworking location in the Irvine Towers office complex as its sole domestic office.
The Tyffon sites are similar to that of Burbank-based Spaces Inc., which operates a trio of VR-powered entertainment venues, including a Terminator-themed attraction at the Irvine Spectrum Center.
The global location-based virtual reality market is projected to see a compound annual growth rate (CAGR) of 36% between now and 2023, according to a report by research firm Technavio. The report cites the mainstream adoption rate of VR tech like Oculus-made headsets for the growth.
Irvine’s the birthplace of VR goggle pioneer Oculus, founded by Palmer Luckey, and sold to Facebook a few years ago for $3 billion.
Luckey has since started Irvine’s Anduril Industries, a $240 million-valued firm that uses VR and other artificial intelligence technology for military and national security applications.
A similar business is in Huntington Beach. Avatar Partners uses VR and AI technology for a variety of military applications.
