Epic Games

Tim Sweeney founded the company in 1991 as Potomac Computer Systems, working from his parents' house in Potomac, Maryland, while studying mechanical engineering. Its first game, ZZT, came out as shareware in January 1991, and its unexpected success persuaded him to make games full time. In early 1992 the company was renamed Epic MegaGames and was joined by Mark Rein, its vice president ever since.

Its early catalogue included shareware titles such as Jazz Jackrabbit and Epic Pinball. In 1998 it released Unreal, a first-person shooter made with Digital Extremes, and began licensing its technology, Unreal Engine, to other studios. In February 1999 it moved its headquarters to Cary, North Carolina, dropped the 'Mega' from its name and released Unreal Tournament later that year.

Gears of War (2006) for Xbox 360 marked its move to consoles, followed by two sequels and Infinity Blade (2010) for iOS. In 2012 Tencent bought around 40% of the company to help it shift to games as a service, and in 2014 Microsoft acquired Gears of War. In 2015 Unreal Engine 4 became free to use in exchange for a share of revenue, and in 2017 came Fortnite Battle Royale, free to play across platforms.

Fortnite's success paid for the Epic Games Store (2018) and acquisitions such as Psyonix (Rocket League), Mediatonic (Fall Guys) and Harmonix. Sweeney remains the controlling shareholder, although Sony, Kirkbi (Lego's parent company) and, in 2024, Disney have invested in the company. Still based in Cary, it announced further layoffs in 2026 as interest in Fortnite fell, and the game it is making with Disney has slipped beyond March 2027.