Niantic, the developer behind the wildly popular augmented reality game Pokémon Go, is reportedly in advanced talks to sell its video game division to Scopely, a Saudi-owned gaming company, for a staggering $3.5 billion. Bloomberg first reported the news, citing an anonymous source. While the deal isn't finalized, the source suggests a confirmation could arrive within weeks.

Niantic, Scopely, and Savvy Games Group (Scopely's parent company) have all declined to comment publicly. The potential acquisition would include Pokémon Go, the groundbreaking mobile game that captivated millions by blending the virtual world of Pokémon with real-world exploration.

This potential sale comes after Scopely's own acquisition by Savvy Games Group in April 2023 for $4.9 billion. This purchase followed a public statement from the Saudi Arabian government expressing its intention to acquire a leading games publisher. Scopely's portfolio includes several successful mobile titles, such as The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go.

Savvy Games Group's aggressive expansion into the gaming industry also includes the 2022 acquisition of ESL and FACEIT, two major esports companies, for a combined $1.5 billion. Saudi Crown Prince Mohammed bin Salman bin Abdulaziz previously stated that Savvy Games Group is a key component of a broader strategy to establish Saudi Arabia as a global leader in the gaming and esports sectors by 2030, aiming to diversify the Saudi economy and foster innovation.