https://arab.news/5rra4
RIYADH: Saudi Arabia’s sovereign wealth fund has increased its stake in Japanese video game developing company Nintendo to 7.1 percent according to a bourse filing.
It was in May 2022 that the Public Investment Fund acquired a 5 percent stake in Nintendo, and in January 2023 it increased that to 6.07 percent in line with the Kingdom’s Vision 2030 goal to emerge as a global hub in the gaming industry.
Nintendo is one of the most prominent names in the global video games industry, with a portfolio of titles including Pokemon, The Legend of Zelda, and Mario.
The PIF also has stakes in noted video game companies which include Nexon, Capcom and Koei Tecmo.
Saudi Arabia is aiming to become a global gaming hub, and the most crucial step to achieve this mission was made in September 2022, as the Kingdom’s Crown Prince Mohammed bin Salman launched the Savvy Games Group’s strategy.
Completely owned by the PIF, Savvy’s strategy is to drive growth by investing in the video games and esports industry with a long-term investment plan, creating more opportunities for participation and strengthening partnerships in the games industry, as well as improving the user experience.
Under the strategy, the Kingdom will invest $37.7 billion in the industry, aimed at establishing 250 game companies in the Kingdom, which will create 39,000 jobs and raise the sector’s gross domestic product contribution to SR50 billion ($13.33 billion) by 2030.
“We are harnessing the untapped potential across the esports and games sector to diversify our economy, drive innovation in the sector and further scale the entertainment and esports competition offerings across the Kingdom,” said the Crown Prince after the launch of Savvy Games Group.
Earlier in September, Prince Faisal bin Bandar, president of the Saudi Esports Federation said that gaming will “introduce yourself to someone using your gaming skills, and not history, religion, color of skin, background or gender.”
He added: “This young community and population are really striving to take their place on the global stage. The ultimate goal is to have Saudi Arabia move on a natural path on the global pathway for games and esports.”