Niantic, the developer behind the popular mobile games Pokémon Go and Monster Hunter Now, has announced the sale of its gaming division to Scopely. The acquisition is valued at $3.5 billion USD. Scopely is a company owned by Savvy Games Group from Saudi Arabia.
The decision to acquire has unfortunately been met with negative reactions from the affected gaming community. This is due to their concern that the policy might negatively impact the sustainability of these games.
Niantic Sells Its Gaming Division to Scopely
Niantic has declared an acquisition agreement for its gaming division, which oversees titles like Pokémon Go, Pikmin Bloom, and Monster Hunter Now, to Scopely, the developer known for popular games such as Monopoly Go! and Marvel Strike Force.
In addition to those games, Scopely has also acquired two other apps, Campfire and Wayfarer. Among the titles mentioned, there are two Niantic games that are not part of this transaction: Ingress and Peridot.
Focusing on Changes in Business Strategy
This decision isn’t entirely unexpected. Their inability to replicate the success of Pokemon Go from 2016, along with several other game titles that fell short of expectations, is believed to be the reason behind this policy.
It is important to remember that between 2022 and 2023, the company carried out layoffs and halted several of its game projects due to financial difficulties and as part of its corporate restructuring efforts.
The shift in business strategy is further solidified by this acquisition. In a joint statement released by both companies, it was announced that Niantic will increasingly focus on developing augmented reality technology beyond the gaming sector.
Furthermore, the company has established a new division called Niantic Spatial. This division is dedicated to advancing real-world 3D mapping technology and AI-based geospatial models.
The agreement’s arrival was not well-received by the players and the community of the affected game. Many of them are concerned that after this acquisition, the game they play will implement increasingly aggressive microtransaction mechanisms.
This negative stigma exists for a reason. Most of the games developed by Scopely include extensive and aggressive microtransactions, which raises concerns that this might ruin the future gaming experience.
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