Niantic in Talks to Sell Pokémon Go Business to Saudi-Owned Scopely for $3.5 Billion

Niantic Inc., the creator of the popular augmented reality game Pokémon Go, is reportedly in advanced discussions to sell its video game division to Scopely Inc., a mobile gaming company owned by Saudi Arabia’s Savvy Games Group. According to sources familiar with the matter, the potential deal is valued at approximately $3.5 billion, with an official announcement expected in the coming weeks.

Ad

If finalized, the sale would include Pokémon Go—the game that turned Niantic into a global powerhouse—as well as other mobile titles developed by the company. Talks are ongoing, and there is no guarantee that the deal will be completed.

The Legacy of Pokémon Go

Niantic became a household name in 2016 when it launched Pokémon Go, a game that mixed real-world exploration with augmented reality (AR). The game quickly became a cultural phenomenon, drawing millions of players worldwide who ventured outside to capture virtual Pokémon on their smartphones.

Advertisement

The game’s success established Niantic as a leader in AR technology, earning billions in revenue and becoming the most profitable AR mobile game to date. Despite its initial triumph, the company has faced challenges in maintaining that momentum, with other titles—such as Harry Potter: Wizards Unite—failing to replicate Pokémon Go's massive appeal. In recent years, Niantic cut staff and canceled multiple projects to streamline operations.

Beyond gaming, Niantic has also been developing advanced AR tools and a global geospatial mapping platform. This technology uses machine learning to connect real-world locations with digital experiences, laying the foundation for future innovations.

Why Scopely Wants Niantic’s Game Portfolio

Scopely, known for mobile hits like Star Trek Fleet Command and Marvel Strike Force, is looking to strengthen its position in the competitive mobile gaming market. Acquiring Niantic’s game division, especially Pokémon Go, would give Scopely access to one of the most recognized and profitable mobile franchises worldwide.

Savvy Games Group, the Saudi Arabian company that owns Scopely, is aggressively expanding its footprint in the gaming industry as part of Saudi Arabia’s larger strategy to diversify its economy. Adding a globally successful title like Pokémon Go aligns with its ambition to become a major player in the gaming sector. In 2023, Savvy acquired Scopely for $4.9 billion and has since expressed interest in further growing its mobile game portfolio.

What Could Change for Pokémon Go Players?

If the sale goes through, players may see new developments and enhancements in Pokémon Go and other Niantic titles. With Scopely’s resources and Saudi Arabia’s investment backing, there could be more frequent updates, improved gameplay features, and expansion into emerging markets.

For Niantic, the sale would mark a shift away from the competitive mobile gaming space. It could allow the company to focus more on its core strengths—augmented reality innovations and geospatial mapping—while handing over game operations to a company better positioned to manage large-scale mobile entertainment.

A Pivotal Moment for the Gaming Industry

The potential $3.5 billion deal between Niantic and Scopely would be one of the biggest acquisitions in the mobile gaming world. It signifies not only the enduring value of Pokémon Go but also Saudi Arabia’s growing influence in the global gaming market. As negotiations continue, the outcome could reshape the future of mobile AR experiences and how major tech companies approach interactive entertainment.

Also Read: Meet Keith Gill: The Influencer Behind GameStop's New Stock Surge