All but Papworth were employees of Sombrero AB,[6] a local computer services company co-founded by Isaksson and the Phersson brothers in 1993.

[7] Daydream initially formed for the purpose of making Safecracker, a project conceived earlier in 1994 by Papworth and Isaksson, influenced by Myst and the board game Mastermind.

Daydream soon obtained a handshake deal with publisher Warner Music Sweden for Safecracker, but this arrangement fell through shortly after.

However, the Safecracker plan was revived during the 1994 Christmas party at Daydream's new office space, when the team was contacted by Warner Interactive Entertainment (WIE) about the game.

[6][9] The company's goal was to increase its economic and decision-making freedom, and to secure the ability to select a publisher at the end of each game's development rather than at the beginning.

[9] President Jans Phersson-Broburg argued that self-financing Daydream's future games with money from Swedish investors, instead of obtaining "funding linked to specific projects" from publishers, would offer the developer more stability, flexibility and room for growth.

[5] For Daydream's public launch, roughly 20 million kr worth of shares, or 45.5% of the company, were offered to investors in Sweden.

[17] The rights to Campfire were eventually sold first to Gamefederation and then to Nordic VFX Company AB in 2007 with a planned release around Halloween 2009 for mobile phones, PS3, Xbox 360 and PC.