Pokemon Go creator For $3.5 billion, Niantic is selling its gaming division to a Saudi company


Niantic, the pioneering company behind the global sensation Pokémon Go, has announced a monumental decision to sell its gaming division to Scopely — a powerhouse in mobile gaming that operates under Saudi Arabia’s Public Investment Fund-backed Savvy Games Group — for an impressive $3.5 billion. The deal encompasses some of Niantic’s biggest and most beloved titles, including Pokémon Go, Pikmin Bloom, and Monster Hunter Now. Additionally, Niantic will provide an extra $350 million cash distribution to shareholders, bringing the total transaction value to approximately $3.85 billion. This strategic shift marks a significant turning point for Niantic, which plans to pivot its focus from augmented reality gaming toward advancing its geospatial artificial intelligence technology through a newly formed company, Niantic Spatial Inc., supported by $250 million in fresh funding.

John Hanke, Niantic’s CEO, explained that the decision aligns with the company’s long-term vision of creating "forever games" while simultaneously accelerating innovation in spatial technology. He praised Scopely’s extensive experience managing live-service games and nurturing global player communities, stating that the transition ensures Niantic’s games will continue to flourish under Scopely’s leadership. Hanke acknowledged Scopely’s proven track record with major titles such as Marvel Strike Force and Star Trek Fleet Command, expressing confidence that the company’s expertise would allow Pokémon Go and other titles to grow and evolve for years to come.

Scopely, known for acquiring and revitalizing popular game franchises, will now integrate Niantic’s acclaimed augmented reality games into its expanding catalog of mobile hits. This acquisition positions Scopely to become a dominant force in AR-based mobile gaming, leveraging Niantic’s technology and passionate player base to scale the games to new heights.

Ed Wu, the head of Pokémon Go, sought to reassure the game’s dedicated fanbase, affirming that the entire development team would remain intact and continue working on new features, live events, and future content. Wu emphasized that Scopely’s commitment to the game’s legacy and its thriving community would ensure Pokémon Go’s continued success, not only into its second decade but for many more years ahead. He described Scopely as a company that deeply respects the Pokémon Go community and recognizes the importance of the game’s ongoing evolution.

While this sale marks the end of Niantic’s direct involvement in gaming, it’s also the beginning of a bold new chapter for the company. Niantic is spinning off its geospatial AI business into a standalone entity named Niantic Spatial Inc., which will focus on advancing spatial computing, extended reality, and AI-driven applications for both enterprise and consumer markets. Hanke outlined an ambitious vision for the new company, describing it as a leader in geospatial AI that will develop technology to help people better navigate, understand, and interact with the physical world around them.

The new venture aims to build on Niantic’s proprietary digital mapping and augmented reality technology — initially developed to power games like Pokémon Go — to create solutions that extend across industries such as logistics, construction, tourism, and urban planning. Niantic Spatial plans to harness spatial intelligence to improve everyday experiences, from enhancing navigation and local discovery to optimizing complex industrial workflows and providing more immersive, real-world AR applications.

Hanke stressed that while Niantic’s gaming journey was remarkable, the company’s underlying technology has even greater potential to revolutionize how people engage with the physical environment. He described Niantic Spatial’s mission as a natural evolution of Niantic’s original goal: to bridge the digital and physical worlds in ways that are meaningful, useful, and engaging — not just for gamers, but for businesses, cities, and individuals globally.

This transition underscores Niantic’s belief that the future lies in the convergence of spatial intelligence and AI. With $250 million in new capital, Niantic Spatial is positioned to become a driving force in reshaping industries through advanced geospatial technology. As Niantic hands over its gaming legacy to Scopely, it sets its sights on pioneering the next wave of technological breakthroughs, determined to leave a lasting impact on both digital entertainment and the real-world experiences of tomorrow.


 

buttons=(Accept !) days=(20)

Our website uses cookies to enhance your experience. Learn More
Accept !