Saudi Arabia, through Savvy Games Group, is in advanced negotiations to acquire Moonton Technology, a move that could materialize for an amount between 6 and 7 billion dollars. This developer, known for its popular game Mobile Legends: Bang Bang, is currently owned by ByteDance, which acquired it in 2021 for approximately 4 billion euros. Despite not having launched any recent major successful titles, it is estimated that Moonton’s value has increased by around 50% in just five years.
Saudi Arabia wants to take over the video game industry
The Saudi regime’s interest in Moonton is part of a broader strategy to diversify its economy and improve its international image, goals set out in its “Saudi Vision 2030” plan. This acquisition would allow the country to further increase its influence in the video game industry, where it already holds significant stakes in companies like SNK, Scopely, and between 5 and 10% of companies like Nintendo and Square Enix.
The management of successful companies in the mobile market would give Saudi Arabia a prominent role in a sector that has proven to be extremely lucrative. However, it is surprising that these expansions have not attracted the attention of market regulators, raising concerns about oversight in an industry that is constantly evolving. If the purchase of Moonton goes through, the country would manage three of the most successful companies in the mobile gaming field.
In addition, the recent news that Saudi Arabia is in the process of acquiring Electronic Arts for $50 billion, which is still pending, reaffirms the regime’s ambition to position itself as a leader in the digital economy. With the wealth derived from its natural resources, Saudi Arabia has the capital and interest to carry out more acquisitions in the near future, although these are not guaranteed in a competitive and changing environment.
