Niantic in Talks to Sell to Saudi-Owned Firm Behind Stumble Guys

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. This news, first reported by Bloomberg, suggests that the deal could potentially include Pokémon Go, a game that has captivated millions by blending the digital and real worlds through Pokémon collection adventures.

According to a source speaking to Bloomberg under the condition of anonymity, the deal is still in negotiation and not finalized. However, should the sale be approved, it could be announced within weeks. Both Niantic and Scopely, along with Savvy Games Group, have chosen not to comment publicly on the potential acquisition at this time.

Scopely, which was acquired by Savvy Games Group in April 2023 for $4.9 billion, has a portfolio that includes successful titles like The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go. This acquisition followed the Saudi government's declaration of intent to purchase "a leading games publisher."

In addition to its acquisition of Scopely, Savvy Games Group also made significant moves in the esports sector by purchasing two of the largest esports organizations, ESL and FACEIT, for a combined total of $1.5 billion in 2022. These strategic acquisitions align with the vision articulated by Saudi Crown Prince Mohammed bin Salman bin Abdulaziz, who stated, "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 further elaborated on the broader economic and entertainment goals of these investments, saying, "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."