The studio was founded in 2010 by Thomas Mahler and Gennadiy Korol. During Mahler's tenure at Blizzard Entertainment, the successes of independent games like "Castle Crashers", "Limbo", and "Braid" encouraged him to leave the company to found an independent studio. The two chose the name "Moon Studios" as the company name as they were inspired by John F. Kennedy's quote "We choose to go to the Moon". Mahler described Moon Studios as a "virtual studio", as the team did not rent an office and instead recruited talents from all over the world. Team members came from places such as Austria, Australia, Israel and the United States, and they collaborated with each other using the Internet. The company's headquarters are located in Mahler's native Vienna.