Pokémon Go Developer Niantic Reportedly in Talks to Sell Video Game Business to Saudi-Owned Company Behind Stumble Guys

Niantic, the developer behind the popular augmented reality game Pokémon Go, is reportedly in negotiations 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, the deal would encompass Pokémon Go, which has revolutionized mobile gaming by encouraging players to explore the real world in search of virtual Pokémon.

Although the deal is not finalized, an anonymous source told Bloomberg that it could be confirmed within weeks if approved. Neither Niantic, Scopely, nor Savvy Games Group have made public comments on the potential acquisition.

This move comes after Savvy Games Group's acquisition of Scopely in April 2023 for $4.9 billion, following the Saudi Arabian government's announcement of its intent to purchase a leading games publisher. Scopely is known for its successful mobile games, including The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go.

In addition to Scopely, Savvy Gaming Group has made significant investments in the esports sector, purchasing ESL and FACEIT for a combined $1.5 billion in 2022. These acquisitions align with Saudi Arabia's broader strategy to become a global hub for gaming and esports by 2030, as articulated by Saudi Crown Prince Mohammed bin Salman bin Abdulaziz.

"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 leveraging the potential within the esports and gaming industry to diversify the economy, foster innovation, and enhance entertainment and competitive offerings throughout the Kingdom.