Public Investment Fund doubles down on gaming sector


Saudi Arabia’s Public Investment Fund (PIF) is doubling down on the gaming sector, making its fourth investment this year.

As part of the country’s economic diversification strategy in line with Vision 2030, it is investing SAR 3.8 billion (USD 1.0 billion) in Swedish video game maker Embracer. The investment is made through the Savvy Gaming Group, which the PIF established in January.

The Embracer team has built a truly unique and leading ecosystem of entrepreneurs and creators. As a result of the acquisition, Embracer will establish a regional hub in Saudi Arabia to invest in start-ups and scale-ups across the Middle East & North Africa (MENA) region.

Similarly, the SAR 1.9 trillion (USD 500 billion) sovereign wealth fund acquired a 5.01% stake in Japanese gaming company Nintendo in May. It followed investments in two other Japanese gaming companies - Nexon and Capcom - in February 2022. Last year, the PIF boosted its stake in American video game maker Activation Blizzard to SAR 59.6 billion (USD 15.9 billion).

Over the past few years, Saudi based entities have become the most significant investors in the global gaming market. The MENA games market is among the world’s fastest growing, with SAR 21.4 billion (USD 5.7 billion) in revenues in 2021 and more active gamers than America or Western Europe.

Consequently, gaming consumption in Saudi Arabia is estimated to reach SAR 25.5 billion (USD 6.8 billion) by 2030, according to the Boston Consulting Group (BCG). These figures suggest significant growth potential as more young Saudis pursue careers in game development, management and competition (also known as e-sports).

Overall, the MENA region’s gaming ecosystem is experiencing sustained year-on-year growth with a CAGR of 15.8%. This can be attributed to a young, hyper-engaged regional demographic with fast technology adoption rates and high levels of mobile penetration.

Business Start Up Saudi Arabia has a network of subject matter experts and specialists to assist with activities throughout the lifecycle of a business in the Kingdom of Saudi Arabia. The activities include Market Research & Assessment Saudi Arabia, Saudi Arabia Business Case, Saudi Arabia Business Model Development, Feasibility Study / Business Plan Saudi Arabia, Organizational & Operational Structuring Saudi Arabia, Saudi Arabia Sponsorship & Partnership, Company Formation Saudi Arabia and many others.

Please click on the link to learn more about opportunities and possibilities in the Kingdom of Saudi Arabia as well as the initiatives of Business Start Up Saudi Arabia.

Other News

BSUS News 30 - Thumb

Saudi and IBM developing AI in several Arabic dialects

Saudi Arabia and IBM have joined hands to pioneer a transformative project - a generative AI programme designed to embrace the rich tapestry of Arabic dialects.

This innovative venture, spearheaded...

Read more
BSUS News 29 - Thumb

Saudi Arabia to welcome European Chamber of Commerce

Saudi Arabia will see the first European Chamber of Commerce in the Gulf region open in Riyadh, according to the EU’s special representative for the Gulf region.

The inaugural European Chamber of...

Read more
BSUS News 28 - Thumb

Saudi Arabia's non-oil activity increasing in line with Vision 30

Saudi Arabia's non-oil business activity grew at a steady rate in April according to a recently published survey with domestic demand driving output.

The seasonally adjusted Riyad Bank...

Read more
BSUS News 27 - Thumb

Saudi Arabia attracting GCC companies to lucrative opportunities

Saudi Arabia is attracting an influx of companies from across the Gulf Cooperation Council (GCC) due to burgeoning prospects and transformative development sweeping through the Kingdom.

Moreover, the...

Read more
BSUS News 26 - Thumb

Saudi sovereign wealth fund holds SAR 3.5 trillion in assets

Saudi Arabia’s Public Investment Fund (PIF) has enjoyed a 55 percent increase in assets under management and is now valued at SAR 3.49 trillion (USD 925 billion).

According to figures from the US...

Read more
BSUS News 25 - Thumb

Saudi Arabia waives customs duties to boost industrial sector

Saudi`s Ministry of Industry and Mineral Resources has announced that customs duties on selected manufacturing products will be waived from April 1.

The decision aims to help businesses with valid import...

Read more
BSUS News 24 - Thumb

Saudi CEO`s forecast business optimism and economic growth

Saudi Arabian Chief Executive Officers have shown unprecedented optimism for the economic growth prospects of the Kingdom over the next year.

According to a study by Price Waterhouse Coopers (PWC)...

Read more
BSUS News 23 - Thumb

Saudi Arabia to add 250,000 hotel rooms, revises tourist targets

Saudi Arabia plans to add 250,000 hotel rooms by 2030 according to the Kingdom’s Ministry of Tourism, with 75,000 to be contracted to the private sector. Meanwhile, approximately 12 resorts on the Red...

Read more

Page Break