Niantic in Talks to Sell to Saudi-Owned Firm

Niantic, the developer behind the immensely popular augmented-reality mobile 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 Bloomberg, this potential deal would encompass Pokémon Go, which has revolutionized mobile gaming by encouraging players to venture into the real world to capture Pokémon.

A source who spoke to Bloomberg on the condition of anonymity indicated that while the acquisition is not yet finalized, it could be announced within weeks if approved. Niantic, Scopely, and Savvy Games Group have all remained tight-lipped, declining to comment on the speculated deal.

Scopely, which was acquired by Savvy Games Group in April 2023 for $4.9 billion following the Saudi government's expressed interest in purchasing "a leading games publisher," is known for publishing successful mobile games such as The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go. Additionally, Savvy Games Group expanded its portfolio in 2022 by purchasing two of the world's largest esports companies, ESL and FACEIT, for a combined $1.5 billion.

Saudi Crown Prince Mohammed bin Salman bin Abdulaziz has articulated a vision for the country, stating, "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. We are harnessing the untapped potential across the esports and games sector to diversify our economy, drive innovation in the sector, and further scale the entertainment and esports competition offerings across the Kingdom."