AI Startup Game State Labs Secures $2M to Transform Player Insights

Bangalore-based Game State Labs secured $2 million in a seed round led by PeerCapital and Neon Fund. The investment will help expand product development, strengthen engineering and go-to-market teams, and accelerate global expansion as the company redefines how games understand and engage players.

Founded in 2025 by Aashbir Bhatia, Ashwin Ramakrishnan, and Jagveer Gandhi, Game State Labs captures millions of in-game events per second, incorporating full player states to generate real-time, AI-ready data. This surpasses traditional gaming analytics that focus on clicks, offering a dynamic system that adapts player experiences continuously.

Personalised Gaming to Boost Engagement and Revenue

The firm’s AI-driven personalisation uses real-time data and long-term player profiles for adaptive difficulty, dynamic ad pricing, and tailored in-app purchase bundles. This approach broadens LiveOps capabilities and delivers player experiences that feel natural yet optimise studio returns.

Co-founder Aashbir Bhatia said, “By enabling AI to interpret player actions and states, we are helping studios increase lifetime value and ad spend efficiency.” Investor Karthik Prabhakar praised the team’s clear, ambitious approach to data infrastructure, while Neon Fund’s Siddhartha Ahluwalia emphasised the growing role of intelligent data in gaming competitiveness.

Game State Labs collaborates with early adopters and plans deeper integration with leading game engines, targeting expanded market presence and AI capability in the year ahead. The company’s privacy-first design ensures responsible data use as it aims to shift the industry from broad cohort analysis to precise player-centric optimization.