Niantic Labs has announced the sale of its game division to Scopely, a company owned by Saudi Arabia’s Public Investment Fund (PIF). The acquisition, valued at $3.5 billion, includes a significant portion of Niantic’s augmented reality (AR) game portfolio.
The deal encompasses popular titles such as “Pokémon Go,” “Monster Hunter Now,” and “Pikmin Bloom,” as well as companion social apps like Campfire and Wayfarer. The acquisition is subject to regulatory approval and other customary closing conditions.
Scopely will gain Niantic’s team of game developers and its portfolio of games. However, Niantic will retain ownership of the AR games “Peridot” and “Ingress.”
Scopely is a prominent player in the mobile gaming sector, known for games such as “Star Trek Fleet Command,” “Marvel Strike Force,” and “Monopoly Go!”
Niantic’s game division, particularly “Pokémon Go,” experienced significant popularity upon its initial release. However, the game’s player base has since decreased from its peak. Niantic has also faced challenges in replicating the success of “Pokémon Go” with other titles, leading to game cancellations and layoffs.
Following the sale, Niantic will focus on its Niantic Spatial division, which specializes in developing real-world 3D maps, under the leadership of CEO John Hanke.
The Saudi PIF has been increasing its investments in the gaming industry, with stakes in companies like Nintendo, EA, and Activision Blizzard.
