Tag Archives: Scopely

Niantic running its 1st layoffs post selling gaming business that included Pokémon Go & Monster Hunter Now

Niantic, a pioneering game developer best known for its hit game Pokémon Go, has long been synonymous with augmented reality gaming. It earned a reputation for turning ordinary streets into magical gaming landscapes, encouraging players to explore the world around them while hunting for virtual creatures. Its innovative approach to gaming drew millions of players into its virtual worlds, blending physical activity and social engagement.

Niantic began as an internal startup within Google before becoming an independent entity in 2015. With Pokémon Go’s release in 2016, the company skyrocketed to fame, redefining mobile gaming by integrating AR technology into gameplay. The app became a cultural phenomenon, attracting players of all ages. Niantic continued to expand its portfolio with titles like Ingress and Harry Potter: Wizards Unite, cementing its position as a leader in the AR gaming industry.

However, even with its success, Niantic faced challenges. In 2023, the company had to downsize significantly due to financial difficulties and unmet internal goals. This included the closure of its Los Angeles studio and layoffs impacting 230 employees. These cuts highlighted the pressures of sustaining its ambitious projects and maintaining profitability in a competitive market.

Fast forward to 2025, Niantic has entered a new chapter with its acquisition by Scopely for $3.5 billion. Scopely, a renowned gaming company under Saudi Arabia’s Savvy Games Group, now owns Niantic’s gaming division. This acquisition has led to significant restructuring, including the formation of Niantic Spatial—a new entity focusing on geospatial AI technology.

As part of this transition, Niantic announced that it would lay off 68 employees, effective May 20, 2025. The layoffs, according to CEO John Hanke, are aimed at aligning the company with its new startup-like approach and geospatial AI focus. Hanke assured that these layoffs are not performance-related but are necessary for streamlining operations.

With Scopely’s involvement, there have been concerns among players about potential changes to Niantic’s games, particularly Pokémon Go. However, Niantic has reassured fans that the core experience of its games will remain intact under the new leadership. Despite the challenges, Niantic continues to boast a robust player base, with over 30 million monthly active users across its games.

The acquisition represents a pivotal moment for Niantic, as it shifts from its gaming roots to explore broader applications of geospatial AI. Whether this new direction will yield success and innovation remains to be seen, but Niantic’s journey thus far underscores its resilience and adaptability.

Niantic to sell gaming division along Pokémon Go, Monster Hunter Now and other AR games

In a groundbreaking move, Niantic, the developer behind some of the most iconic augmented reality (AR) games, has confirmed the sale of its gaming division to Scopely, a mobile gaming powerhouse. This $3.5 billion deal marks a significant shift in the gaming landscape, with implications for beloved titles like Pokémon GO, Monster Hunter Now, and Pikmin Bloom. The acquisition also brings Scopely’s own hit, Monopoly GO!, into sharper focus as part of its expanding portfolio. But what does this mean for players, developers, and even industry giants like Nintendo? Let’s dive in.

Niantic’s decision to sell its gaming division comes as the company shifts its focus toward geospatial AI and real-world mapping technologies under a new entity, Niantic Spatial. While Pokémon GO remains a cultural phenomenon with over 100 million unique players in 2024, Niantic has struggled to replicate its success with other titles. This sale allows Niantic to double down on its new vision while ensuring its games continue to thrive under Scopely’s stewardship.

What This Means for Key Titles

  1. Pokémon GO: As the crown jewel of Niantic’s portfolio, Pokémon GO has set the standard for AR gaming. Scopely has assured players that the game will remain true to its spirit, with the original development team continuing to lead its evolution. However, concerns about Scopely’s monetization practices—known for aggressive in-app purchases in games like Monopoly GO!—have raised questions about the future of Pokémon GO‘s player-friendly model.
  2. Monster Hunter Now: This AR adaptation of Capcom’s popular franchise has gained traction since its release in 2023. Under Scopely, the game could see enhanced features and events, leveraging Scopely’s expertise in live services to deepen player engagement.
  3. Pikmin Bloom: A walking game that encourages exploration and community interaction, Pikmin Bloom aligns well with Scopely’s focus on social gaming. Players can expect continued support and possibly new updates to enrich the experience.
  4. Monopoly GO!: Already a top earner for Scopely, this game could benefit from cross-promotional opportunities with Niantic’s titles, creating a more interconnected gaming ecosystem.

Nintendo’s Role and the Saudi Connection

The sale also highlights a broader trend: the increasing influence of Saudi Arabia’s Public Investment Fund (PIF) in the gaming industry. Scopely, backed by Saudi-owned Savvy Games Group, now holds a significant stake in AR gaming. This raises questions about how industry leaders like Nintendo will navigate this evolving landscape. With the PIF already owning an 8% stake in Nintendo, the Japanese gaming giant faces the challenge of maintaining its independence while adapting to a market increasingly shaped by external investments.

For players, the immediate future of Niantic’s games appears stable, with Scopely committed to preserving their core experiences. However, the long-term impact of this acquisition—particularly in terms of monetization and community engagement—remains to be seen. For Niantic, this marks a bold new chapter focused on geospatial AI, while Scopely solidifies its position as a leader in mobile gaming.

As the gaming industry continues to evolve, this deal serves as a reminder of the delicate balance between innovation, player satisfaction, and corporate strategy. Whether this new era will enhance or diminish the magic of games like Pokémon GO is a story still unfolding.