Saudi Arabia’s Savvy Games Group has recently announced its acquisition of Scopely, a mobile game publisher and developer, for $4.9 billion. The deal marks the latest consolidation within the gaming industry, particularly in mobile gaming, and reinforces Savvy's push to expand in the game industry. Savvy Games Group is a games and esports company wholly owned by Saudi Arabia’s Public Investment Fund (“PIF”), and the acquisition of Scopely strengthens its ability to deliver new and exciting products for the global gaming community. Scopely, the Culver City, California-based publisher of hit mobile games like Star Trek: Fleet Command, will remain an autonomous operating company under the Savvy umbrella.
Savvy's long-term patient financial backing will enable Scopely to deepen its existing franchises, unlock new player audiences through innovative game experiences, and work with the best talent and studios across the industry through strategic partnerships and acquisitions. The acquisition will also build on Scopely’s cross-platform approach to extend its live services expertise to new segments like PC, console and other platforms.
The investment supports Savvy's strategy to drive the growth of the global games industry through long-term strategic investments. Savvy's investments are made to strengthen the core competencies of its partners, enabling them to focus on delivering stand-out services and experiences for their communities and creating new opportunities for progression and participation.
According to Newzoo, mobile games revenues reached $92.2 billion in 2022, representing 50% of the global market. However, the economic downturn and Apple's push for user privacy over targeted advertising have slowed down mobile gaming's growth, making consolidation more likely. Despite this, revenue from mobile games in Saudi Arabia is expected to show an annual growth rate of over 7%, resulting in a projected market volume of $2.1 billion by 2027, according to Statista.
This acquisition is a major milestone for both Savvy and Scopely, and it will be exciting to see what the future holds for these two gaming powerhouses.