Scopely to acquire Niantic's game business for $3.5 billion as Pokémon GO maker focuses on geospatial AI

Scopely is ready for its new megadeal by announcing the acquisition of Niantic’s entire video game business. The company will now own global hits like Pokémon Go and Pikmin Bloom.

Scopely x Niantic deal explained

On March 12, Scopely entered into an agreement to acquire Niantic’s game development business for $3.5 billion. The deal is subject to regulatory approval.

As a result, the Monopoly Go! maker will welcome the following titles:

Pokémon Go, which surpassed $8 billion in gross player spending globally last year, has over 20 million weekly active users;
Monster Hunter Now, which reached nearly $195 million in net IAP revenue globally, boasts strong engagement, with over 50% of its audience playing every day of the week;
Pikmin Bloom, developed in partnership with Nintendo, with lifetime net revenue of more than $56 million.

Niantic’s top 3 mobile games by net revenue reduced by platform fees and inclusive taxes (via AppMagic)

According to Scopely, Niantic games currently have over 30 million monthly active users (MAU), with its total annual revenue exceeding $1 billion in 2024. In addition, the company will now own two social companion apps, Campfire and Wayfarer.

“Few games in the world have delivered the scale and longevity of Pokémon GO, which reached over 100 million players just last year,” Scopely chief revenue officer Tim O’Brien said in a statement, adding that Niantic “shares our inclination to create industry-leading outcomes and exceptional player experiences.”

Kei Kawai and Ed Wu will continue to lead the Niantic game teams post-acquisition. “With Scopely’s full commitment, experience, and resources, we’re going to make Pokémon Go the very best it can be — from incredible battles for thousands of Trainers at a time at our live events to new ways to connect to your friends and community,” Wu noted.

Scopely, which was acquired by Saudi Arabia’s Savvy Games Group for $4.9 billion in 2023, has been discussing its expansion for a while now. Last year, the company said it planned to announce at least one “megadeal” in 2025, describing it as an acquisition of a “scaled global franchise doing hopefully at least a billion dollars in revenue.”

What will happen to Niantic following its deal with Scopely?

Upon the acquisition, Niantic will continue to operate two AR games, Ingress Prime and Peridot. It will also spin off its geospatial platform into a standalone entity led by its founder and CEO John Hanke.
In a separate announcement, the company noted that Niantic Spatial will focus on geospatial AI by developing solutions to help people better navigate and engage with the physical world.
It will combine its proprietary AI, extended reality, and geographic information systems technologies to work in the areas of manufacturing, logistics, construction, tourism, entertainment, and education.
Niantic Spatial will be funded by $250 million of capital, including $200 million from Niantic’s balance sheet and $50 million from Scopely.
The company is now also working on its Large Geospatial Model built on a proprietary database of over 30 billion posed images to enable “people and machines to understand and navigate the physical world.”