Savvy Games Group has reached an agreement to obtain Moonton Studio from ByteDance Ltd., thereby reinforcing its foothold in the mobile gaming sector.
Sources indicated that the transaction values Moonton at $6 billion. These individuals requested anonymity due to the confidential nature of the agreement terms. The acquisition is anticipated to be finalized imminently, as stated by Moonton CEO Zhang Yunfang in an internal communication reviewed by Bloomberg. The current leadership team will maintain their positions, and employees will be offered incentive programs.
Savvy CEO Brian Ward expressed that the acquisition aims to enhance its mobile gaming division and broaden its presence in esports. Savvy, a division of the $1 trillion Saudi Public Investment Fund, constitutes a crucial element of Saudi Arabia’s ambitious strategy to establish itself as a premier force in the video game industry.
Moonton’s multiplayer mobile games enjoy considerable popularity in Southeast Asia, notably Mobile Legends: Bang Bang, which boasts over 1.5 billion installations. During the Game Developers Conference in San Francisco this month, Ward remarked that recent aggressions from Iran jeopardize the nation’s image as “a stable and peaceful place,” as Saudi Arabia endeavors to become a global nucleus for gamers. The corporation’s plans encompass a gaming district within Qiddiya City, an entertainment hub situated near Riyadh that features theme parks, golf facilities, and esports venues.
In 2023, Savvy procured Scopely, the developer of the widely played mobile game Monopoly GO. Via Scopely, the firm also consented to acquire Pokémon Go from Niantic Inc. in the preceding year for $3.5 billion. According to the “Global Games Market Report 2025” issued by analyst firm Newzoo, mobile games are projected to constitute the majority of expenditure within the industry, surpassing console and PC games, with the majority of expansion anticipated in Asia.
“We take pride in Moonton’s remarkable expansion and its advancement as a prominent participant in the mobile gaming domain in Southeast Asia,” ByteDance stated. “This transaction represents a logical progression in its evolution.”
ByteDance, headquartered in Beijing, acquired Moonton for approximately $4 billion in 2021 but is divesting the studio to prioritize generative artificial intelligence. The owner of TikTok has been reducing its workforce and discontinuing gaming platform Nuverse in recent years after the company was unable to secure market dominance from Tencent Holdings Ltd. ByteDance is in competition with significant Chinese tech enterprises and AI startups in the creation of foundational models and chatbots.
In September, video game titan Electronic Arts Inc. consented to sell itself to a consortium of investors that incorporated Saudi Arabia’s PIF in the largest leveraged buyout ever recorded. The Saudi sovereign wealth fund also possesses a share in Nintendo Co.
Source: Bloomberg