Niantic has announced a big shift in its business structure with the sale of Pokémon GO and its entire mobile game portfolio to Scopely, an American leader in mobile gaming, in a deal worth $3.5 billion. The deal includes the sale of Pokémon GO, Pikmin Bloom, Monster Hunter Now, and the teams working on these games. The sale, expected to close in 2025, comes as Niantic focuses on advancing its geospatial technology and AI business, while Scopely assumes responsibility for the ongoing development and support of these popular games.
Sale of Niantic’s Game Portfolio to Scopely
The transaction, which includes $3.5 billion in cash for the games and an additional $350 million in cash from Niantic being distributed as part of the deal, will see Scopely acquire Pokémon GO and its associated assets. This brings the total to a value of approximately $3.85 billion for Niantic equity holders. Niantic emphasized that the move will allow the games to continue their growth as “forever games” with Scopely’s support.
Scopely’s Chief Revenue Officer, Tim O’Brien, expressed his enthusiasm for the acquisition, stating that Scopely is inspired by Niantic’s ability to create innovative experiences that bring people together in the real world.
Ed Wu, head of the Pokémon GO team at Niantic, reassured players that the games will continue to be supported by the same development teams that have built them. Wu, who has been with Niantic since 2012, was the original engineer on the game’s codebase and played a key role in the game’s launch in 2016. He shared personal reflections on the game’s impact, noting how it has changed lives, including his own family’s health and how it has helped players form relationships.
Wu highlighted several key points regarding the transition:
- Partnership with The Pokémon Company
Niantic’s long-standing partnership with The Pokémon Company, which has played a central role in the development of Pokémon GO since its inception, will continue. Wu reiterated that the shared mission of bringing Pokémon into the real world will remain unchanged as both companies continue their collaboration. - Scopely’s Support and Long-Term Vision
Scopely has expressed strong admiration for the Pokémon GO community and the team behind the game. Wu stated that the game would continue to focus on its mission of encouraging players to explore the real world and discover Pokémon. With Scopely’s resources, the game is expected to continue expanding and evolving for years to come. - Team Remains the Same
The entire Pokémon GO team will remain in place under the new ownership, ensuring that the developers who have worked on the game for years will continue their roles. This includes ongoing updates to the game such as the addition of new features and events like Raid Battles, the GO Battle League, and Pokémon GO Fest. - Autonomy and Resources from Scopely
Scopely’s business model supports game development teams with the autonomy to pursue long-term roadmaps, while providing the necessary resources to ensure the quality of the game. This approach aligns with Niantic’s goals for Pokémon GO, as it allows the team to continue improving the game without compromising on creative freedom.
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Why Scopely Is Teaming Up with Niantic
Scopely is teaming up with Niantic to leverage their shared commitment to creating highly engaging, real-world experiences that bring people together through play. In their statement, Tim O’Brien, Chief Revenue Officer at Scopely, explained:
Scopely has always been focused on cultivating meaningful communities through a shared love of play, and the Niantic games organization is one of the best in the world at this endeavor. We are extremely inspired by what the team has built over the last decade, delivering innovative experiences that captivate a vast, enduring global audience and get people out in the real world. We look forward to further accelerating the team’s creativity through our partnership.
Scopely recognized Niantic’s ability to foster large, highly engaged player communities, particularly through games like Pokémon GO, which have remained culturally relevant and popular globally for nearly a decade. Scopely also noted that their values align with Niantic’s, emphasizing transparency and a passion for continuous learning, and they aim to empower Niantic’s development teams to continue pursuing their ambitious roadmap with full support and resources.
Creation of Niantic Spatial Inc.
In addition to the sale, Niantic is spinning off its geospatial AI business into a new entity called Niantic Spatial Inc. Niantic Spatial will focus on the development of advanced geospatial intelligence and spatial computing technologies. The new company will be funded with $250 million in capital, which includes $200 million from Niantic’s balance sheet and a $50 million investment from Scopely. Niantic Spatial will be led by John Hanke, CEO of Niantic, and will continue developing the technologies that power Niantic’s gaming experiences, such as the Visual Positioning System (VPS) and other augmented reality solutions.
Niantic Spatial is already working on a third-generation digital map, which will capture the world with unprecedented precision, enabling both humans and machines to understand and navigate the physical world. The company also aims to enhance spatial reasoning in large language models (LLMs) through its work on a Large Geospatial Model, a machine learning-powered model that will provide a deeper understanding of real-world locations.
Niantic Spatial will continue to operate Ingress Prime and Peridot, two other real-world augmented reality games, as flagship examples of its geospatial platform.
Looking Ahead
Niantic’s decision to focus on geospatial AI and spatial computing comes at a time of rapid advancements in artificial intelligence (AI). With Scopely taking over the game portfolio, Niantic will look to dedicate more resources to its geospatial technologies, which it believes will unlock new possibilities for both consumer experiences and enterprise applications. The Niantic Spatial platform already has applications in various industries, including logistics, manufacturing, and education, where it provides precise tracking and real-time spatial visualization.
The transaction has been approved by the boards of both Niantic and Scopely and is subject to customary closing conditions and regulatory review. The deal is expected to be finalized in 2025.
Source: NianticLabs Official Website, Pokémon GO Official Website, Scopely Official Website
Featured image: Pokémon GO ©2025 Niantic, Inc. ©2025 Pokémon. ©1995–2025 Nintendo / Creatures Inc. / GAME FREAK inc.
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