Saudi Arabia-owned Scopely recently acquired Turkish puzzle-game developer Pixel Flow for USD 1 billion, highlighting the kingdom’s ambitions in the global entertainment and gaming economy.

The deal forms part of a broader strategy by Saudi Arabia to position entertainment, gaming, and digital media as long-term pillars of a diversified economy. Scopely is owned by Savvy Games Group, a games and esports company backed by the Public Investment Fund (PIF).

Through global acquisitions, investment platforms, subsidies and talent-development initiatives, Saudi is building an ecosystem designed to generate private sector growth, create jobs, and develop non-oil revenue streams under the Vision 2030 plan.

The Pixel Flow acquisition adds to a growing portfolio of gaming investments supported by the PIF, which has emerged as one of the world’s most active investors in interactive entertainment. The kingdom’s approach increasingly mirrors how countries have historically used film, music, and sports to project influence and create economic value.

Founded by CEO Kübra Gündoğan and chief technology ocer Emre Çelik in 2025, Pixel Flow became the only casual game released in the past 12 months to break into the monthly top 20 grossing charts in the United States, according to Scopely.

PROMISING INDUSTRY

Gaming, in particular, has become one of the fastest-growing segments of the global media industry, now rivalling film and television in commercial scale and cultural reach.

It has also found its place in Saudi’s strategy, which centres on building sustainable businesses that contribute to GDP, create high-skilled jobs, and strengthen local capabilities.

Saudi Arabia’s domestic market fundamentals also support that ambition. The country has 23.5 million gamers, representing roughly two-thirds of the population, while Internet penetration exceeds 90%. More than 60% of Saudis are under 30, creating a large digitally native consumer base driving demand for gaming, streaming, and online entertainment.

Studios in the kingdom are also able to access financing and accelerator programmes that are boosting local developers.

NIANTIC DEAL

In 2025, Scopely had also acquired the gaming business of Niantic, including the blockbuster title Pokémon GO, in a deal that further strengthened the kingdom’s growing position in the global gaming industry.

The transaction gave Scopely control over one of the most commercially successful mobile games ever created. Since its launch in 2016, Pokémon GO has attracted hundreds of millions of players worldwide and generated billions of dollars in revenue through in-game purchases, events, and partnerships. The acquisition also included other Niantic gaming assets and development teams, expanding Scopely’s capabilities in live-service gaming and augmented reality experiences.

The deal was significant not only because of the scale of the franchise, but also because it reflected Saudi Arabia’s broader strategy to build a long-term presence in entertainment, digital media and interactive technology through the PIF.

By acquiring globally recognised intellectual property and experienced development teams, Saudi-backed firms are moving beyond passive investment and into operational leadership within the gaming industry. The addition of Pokémon GO provided Scopely with a highly engaged global user base and a proven platform for recurring revenues, live events, and brand partnerships.

BEYOND GAMING

The acquisition also highlights the increasing convergence between gaming, technology, and entertainment. Mobile games are no longer niche products but large-scale digital ecosystems that generate revenues comparable to film, music and sports franchises.

It also extends into film and television production. Film AlUla, for example, has increasingly positioned itself as a filming destination, oering incentives and rebates to international productions. The broader entertainment sector is expected to create 450,000 jobs and contribute 4.2% to the GDP by 2030, according to government estimates.

Large-scale events are also becoming central to Saudi Arabia’s positioning strategy. Riyadh Season has attracted millions of visitors, while the Esports World Cup has drawn publishers, teams and investors from across the global gaming industry.  

Acquisitions like Scopely’s Pixel Flow and Niantic bring more than just intellectual property. They provide access to global distribution networks, management expertise and established audiences, while helping domestic firms integrate into the international entertainment economy.

For Saudi Arabia, entertainment is increasingly being treated not as a peripheral industry, but as part of a broader economic restructuring eort alongside tourism, logistics, mining, and advanced technologies. Gaming and digital media are emerging as strategic industries intended to generate both economic returns and global cultural relevance over the long term.