Roblox uniquely offers investors exposure to multiple growth megatrends, including mobile gaming, social networking, user-generated content, and digital identity, and ultimately the Metaverse.

We have analyzed the company a few months ago and what stood out is Roblox "aging-up" challenge. https://sltresearch.wixsite.com/slt-research/post/roblox

We believe that Roblox efforts to expand its TAM to older cohorts, particularly given the potential supportive network effects that come as a byproduct of the growing aged-up userbase, is key to drive steady long-term returns for investors, with significant optionality tied to several drivers, including advertising, ecommerce, and the wider Metaverse opportunity.

As per recent earnings, 13+ cohort is now making up the majority of DAUs. Unsurprisingly, the developer side of the marketplace is moving in lockstep with users, with the mix of

experiences classified as "aged up" expanding by almost 4x over the last year to 40%, up from 12% in 2020.

Roblox network effect is stronger if the userbase is aged-up. Indeed older developers are more likely to develop better and more sophisticated games, attracting older players on the platform and increasing monetization, which is attracting better developers and so on...

As a result, 13+ users spend more time on the platform quarters after quarters.

Roblox would have sufficient runway to more than double total DAUs by FY25 from aging-up alone. It would also allow the platform to keep its young users as they age through the years. Roblox loses a growth opportunity if can't retain this group as it ages and discovers more mature gaming options. Genre-diversification efforts in categories such as racing and shooting have improved the experiences for older audiences, but Roblox's blocky art style may not be attractive to such players.

To conclude, DAUs and Hours Engaged by Age are metrics you monitor carefully: