In the first quarter of 2025, the value of mergers and acquisitions in the video game sector increased to $6.6 billion, largely due to a surge in mobile gaming deals

In the first quarter of 2025, mergers and acquisitions in the gaming industry surged to $6.6 billion, marking the highest figure in over a year, largely propelled by developments in the mobile gaming domain.

A significant portion of this amount stems from Scopely's $3.5 billion purchase of Niantic's games division, which includes the hit game Pokémon GO.

This information, provided by a newsletter from gaming-centric investment bank Aream in collaboration with InvestGame, highlights that this quarter witnessed the most significant merger and acquisition activity since Microsoft finalized its acquisition of Activision Blizzard in the last quarter of 2023.

Importantly, the report differentiates between finalized mergers and acquisitions and those merely announced. Below is a graph illustrating recent trends in M&A from the report:

a graph of merger and acquisition trends over the past five years — Image credit: Aream

Among other notable transactions during this period was Miniclip's acquisition of Easybrain for $1.2 billion, along with AppLovin's sale of its mobile gaming division for $900 million as it shifts its focus to mobile advertising.

The acquisitions in the first quarter also encompass Take-Two's $460 million acquisition of Gearbox Entertainment, the creators behind the Borderlands series.

The report underscores that current activity levels have surpassed those seen before the pandemic. The latest wave of deals has been driven by strategics actively reshaping their portfolios and a targeted set of private consolidators seeking acquisitions, alongside growing interest from private equity in the sector.

Moreover, the report highlights the challenging environment for securing private financing in the gaming sector, especially in later funding stages, marking this quarter as the lowest in recent history:

a graph of gaming financing trends over the past five years — Image credit: Aream

The pattern holds true for early-stage private investment as well, notably Series A funding. Additional insights into the industry's broader condition are detailed in the full newsletter.