Imagine capturing Pikachu amidst Saudi Arabia's vast deserts. This fantasy may soon become reality as the kingdom's massive investments in gaming infrastructure amplify the potential of augmented reality (AR) games like Pokémon Go across the Middle East.
Scopely, backed by Saudi Arabia's Public Investment Fund (PIF), recently acquired Niantic Labs' gaming division for $3.5 billion, gaining control of global AR hits including Pokémon Go, Monster Hunter Now, and Pikmin Bloom. This strategic move advances Saudi Arabia's Vision 2030 economic diversification plan while creating new opportunities for cross-border e-commerce merchants in the region.
Scopely: The Linchpin of Saudi Arabia's Gaming Empire
As the world's second-largest mobile game developer, Scopely boasts phenomenally successful titles like Monopoly Go, which has generated over $3 billion from 50 million downloads. The Savvy Games Group, a PIF subsidiary, acquired Scopely for $4.9 billion in April 2023. The Niantic acquisition represents Saudi Arabia's latest gambit to dominate global gaming.
The kingdom aims to transform its gaming sector into a $13 billion GDP contributor by 2030. PIF has already acquired stakes in industry giants like Nintendo, Electronic Arts, and Take-Two Interactive. Concurrently, Saudi Arabia is emerging as an esports hub, hosting a $60 million Esports World Cup in 2024 and securing rights to stage the inaugural Esports Olympics in Riyadh by 2027.
Market analysts project Middle East and North Africa (MENA) gaming revenues will reach $16.74 billion by 2025, with Saudi Arabia positioned as the region's key player.
Pokémon Go: AR Gaming's Middle Eastern Breakthrough
Since its 2016 launch, Pokémon Go has remained a cultural phenomenon by blending virtual gameplay with real-world exploration. The AR mobile game continues to rank among the world's top-grossing titles, maintaining over 100 million active users with 20 million weekly players.
The game's success highlights AR gaming's potential in Saudi Arabia, where a young, tech-savvy population readily adopts new entertainment technologies. Government support for gaming infrastructure further accelerates this development.
E-Commerce Opportunities in the MENA Gaming Boom
The gaming industry's expansion creates ripple effects across multiple product categories. Cross-border sellers should consider these key opportunities:
- AR/VR Equipment & Smart Accessories: Demand for AR glasses, high-performance smartphones, portable chargers, and fitness trackers may surge as players seek enhanced gaming experiences. Products emphasizing desert climate adaptability and outdoor durability will gain traction.
- Licensed Merchandise: Pokémon's brand appeal could drive sales of officially licensed toys, apparel, and culturally adapted merchandise. Sellers must ensure products respect Islamic cultural norms regarding anthropomorphic imagery.
- Outdoor Gear: The game's exploration mechanics may increase demand for UV-protective clothing, hydration products, and heat-resistant sportswear tailored to Middle Eastern climates.
- Localized Commerce Solutions: Market success requires Arabic-language support, cash-on-delivery payment options, and logistics optimized for regional distribution networks.
Saudi Arabia's gaming investments are reshaping regional consumption patterns. For e-commerce businesses, understanding these evolving dynamics will be crucial for capturing the MENA market's growth potential.