Applied Reality is an Applied AI Lab building multimodal World Models that understand, simulate, and generate interactive environments.
We've been backed by Long Journey, Zuckerberg Family, and Streamlined, early investors behind DeepMind, ByteDance, Anduril, and Together AI, Jeff Dean, Tim Draper and core researchers from OpenAI, Google DeepMind, Anthropic, and xAI to build the future scaling layer of AI.
Powered by a hybrid architecture of advanced coding agents with real-time diffusion, we enable infinite, accurate, and scalable environment generation—making the creation of games, robotics simulations, and interactive 3D worlds as effortless as generating an image.
Growth
Acqui-hired two gaming & product studios with 11.5M+ downloads and 100 games made for Voodoo and Supersonic.
Customers: Partnered with hundreds of gaming and livestream creators (100K–10M followers each) for the upcoming launch of Roam. We've achieved 50M+ views over the last 14 days.
Team: Grew from 3 to 13 people in 9 months. Headquartered in San Francisco and Europe.
Backing: Raised a round from investors behind DeepMind, ByteDance, Anduril, Together AI, Polymarket, Arielle Zuckerberg, staff from OpenAI, Anthropic, xAI, DeepMind, etc. Recently turned down an acquisition from a frontier lab.
World Engine: The Golden Ratio
Our engine delivers accurate worlds in any setting or functionality, with persistent state and no collapse, at ~50x lower cost than other approaches and supports 1M+ concurrent users.
Reality & Spark: Advanced multi-agent coding agents generate the complete structural and logical foundation, objectives, UI, sounds, VFX, and persistent world state.
(in progress): our lightweight, real-time, 3D-conditioned diffusion model acts purely as a visual layer while preserving perfect temporal and multi-view consistency.
Product
Our first product Roam is a mobile world-generation platform that lets users make and share studio-quality games from natural language, images, or multimodal prompts.
Games are the best across all engagement metrics, yet complex creation excludes 99.9% of people. The market is starving for a creation solution, seen in companies like Astrocade with 3M+ MAUs with terrible 2D game outputs.
We currently exceed all of our competitors’ outputs by a large margin in 3D and were able to do the same in 2D within a month of starting. With studio-level 3D game outputs, we aim to hit 5M+ WAUs by the end of the year.
Reality Model
Applied Reality's long-running model · Price <$50 per output · AA-quality games
For best performance, play on a Mac or PC.
Assassin's Creed in Japan: explore a burning Japanese village, a city, and a castle; track your clan, strike from the shadows, and battle bosses. 45 minutes of story mode and 5.5 hours of total gameplay.
GTA 6 trailer-inspired open-world sandbox. Start trailer, full first mission, functional city beach, dialogues between main characters, while you escape cops.
A multiplayer street shooter remade: fight across an open city block, trade shots, and top the kill feed.
Spark Model
Applied Reality's medium-reasoning model · Price <$10 per output · Mobile studio-quality games
Runs at 120 fps on mobile.
A pixel-art adventure: explore a village, take on quests, and battle through dungeons and waves of enemies.
A snowy survival camp: gather wood, light the fire, and explore the frozen frontier.
A dystopian repair shop: fix devices, read official directives, and decide what to report.
A first-person action game: move through tight urban arenas, take down rivals, and land the winning shot.
A first-person arena game: charge your spear, launch into combat, and dive through waves of enemies.
A first-person brawler: fight your way through an apartment block with a frying pan.
Opportunity: Dual Use
While launching as a gaming powerhouse, every engineering hour spent on it contributes to us building the essential simulation layer for the physical AI era.
The Simulation Flywheel: Our causal 3D construction solves the 3D data scarcity problem, the most expensive bottleneck in robotics today. This has already secured high-level interest from several of the top 5 robotics companies that we plan to aggressively pursue.
Interactive Entertainment: We are unlocking creation for the 99.9% of the population currently excluded from game development. By building tools with the correct UX, we're on track to bring world gen as the next interactive medium to everyone, far beyond the current game developer audience.
Roam is building the engine for the two greatest shifts of our time: a new age of entertainment and physical AI. By capturing the convergence of environment generation, we're going after a $100B+ market-cap outcome.
Team
Team of 13 people, composed of four core divisions:
Applied AI: Former Moonshot team members (Kimi 2.5 post-training & agents) and second-time technical founders who worked on multi-agent workflows, diffusion model training, RL-based world-simulation systems, on-premise Hugging Face-style platforms and OS projects with 10K+ downloads.
3D & Gameplay: Studio owners made 100+ mobile titles for Voodoo & Supersonic, games with 11.5M+ downloads, made games for Sidemen and several other global creators.
Infrastructure & Mobile: Ex-TradingView, Yandex (YaML) and senior iOS engineers who scaled consumer apps from 0 to 2 million DAUs, built high-reliability distributed systems, and shipped large-scale SwiftUI and real-time multiplayer products across mobile and backend.
Growth & Marketing: 150M views in AI gen media for Wombo.AI and took a [redacted] Series A company from 0 to 160M views and 1B+ impressions.
Technical Challenges
Hybrid Multi-Agent Orchestration: Coordinating distributed coding agents to create persistent structural logic, objectives, terrain, interactions, and multiplayer state.
Engineering multi-view and temporally consistent style-transfer models (ANIMA-0) that are performant on mobile while maintaining perfect 3D grounding.
Building reinforcement learning pipelines for open-ended environment generation that feature hierarchical action spaces and dynamic, real-time difficulty adjustment.
Lightweight model training that can run at top performance on consumer mobile hardware.
Company Details
Team Size: 13 (all engineers)
Headquarters: San Francisco, CA