Scopely has purchased Niantic, the developer behind Pokémon Go, in a transaction valued at $3.5 billion

Niantic, the company behind Pokémon Go, is set to be acquired by Scopely, a subsidiary under Savvy Games Group.

This $3.5 billion transaction had been indicated in earlier leaks and encompasses the entirety of Niantic's game development personnel along with its titles such as Pokémon Go, Pikmin Bloom, and Monster Hunter Now.

The acquisition also covers related applications and services like "Campfire" and "Wayfarer" and entrusts Scopely with managing Niantic's renowned live events, including Pokémon Go Fest.

John Hanke, who founded and leads Niantic, remarked, “Niantic games have always been a bridge to connect people and inspire exploration, and I am confident they will continue to do both as part of Scopely.”

He added, “Scopely shares our focus on building and operating incredible live services, has exceptional experience working with the world's biggest and most beloved intellectual properties, and cares deeply about its player communities and game-making teams.

"I firmly believe this partnership is great for our players and is the best way to ensure that our games have the long-term support and investment needed to be 'forever games' that will endure for future generations.”

In July 2023, Savvy Games Group, a Saudi Arabian multinational involved in game investments, purchased Scopely for $4.9 billion. Earlier this year, in January, they appointed Nika Nour as senior vice president and head of international business development.

Saudi Arabia has been increasingly engaged in the gaming and esports sectors with substantial investments totaling $38 billion through its Public Investment Fund. This includes stakes in key companies such as Electronic Arts, Nintendo, Nexon, and Capcom. The country is also preparing to host the first Olympic Esports Games in 2027.

These actions have ignited controversy, primarily due to Saudi Arabia's human rights issues, particularly concerning gender inequality and the severe penalties for homosexuality, which include life imprisonment or even execution.