Niantic, the developer behind the popular augmented reality game Pokémon Go, is reportedly in discussions to sell its video game division to Scopely, a company owned by Saudi Arabia's Savvy Games Group, for a staggering $3.5 billion. According to a report by Bloomberg, this potential sale would include Pokémon Go, a game that has revolutionized mobile gaming by encouraging players to venture into the real world to capture Pokémon.
While the deal is still in the negotiation phase and not finalized, a source who spoke to Bloomberg on the condition of anonymity suggested that, if approved, the acquisition could be announced within weeks. Neither Niantic, Scopely, nor Savvy Games Group have issued public statements regarding the reported acquisition.
Scopely, which was acquired by Savvy Games Group in April 2023 for $4.9 billion, is known for its successful mobile games such as The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go. This acquisition followed the Saudi Arabian government's announcement of its intent to purchase a leading games publisher.
Savvy Games Group has also been expanding its footprint in the gaming industry, having previously purchased two of the world's largest esports companies, ESL and FACEIT, for a combined $1.5 billion in 2022. This move is part of a broader strategy outlined by Saudi Crown Prince Mohammed bin Salman bin Abdulaziz to position Saudi Arabia as a global hub for the games and esports sector by 2030.
“Savvy Games Group is one part of our ambitious strategy aiming to make Saudi Arabia the ultimate global hub for the games and esports sector by 2030,” the Crown Prince stated. He emphasized the goal of harnessing the untapped potential in the esports and games sector to diversify the economy, drive innovation, and enhance entertainment and esports competition offerings throughout the Kingdom.
