Saudi Arabia is facing a major challenge in turning its growing gaming investments into a unified global business. The country's Public Investment Fund (PIF) has acquired major industry assets, including Electronic Arts (EA), while its gaming arm, Savvy Games Group, is expanding further. Analysts warn that combining these businesses could prove difficult.
PIF led a consortium that completed a USD 55 billion buyout of EA in August. Savvy is also acquiring Moonton, a gaming studio owned by China's ByteDance, in a deal valued at USD 6 billion. Savvy already owns Scopely, a major mobile games developer.
Market speculation about a possible merger between EA and Savvy increased after Bloomberg reported discussions in September. Analysts say such a move could bring together EA's console and PC games with Savvy's mobile gaming and esports businesses.
Daniel Ahmad, research and insights director at Niko Partners, said combining the companies could make commercial sense. He noted that PIF had already moved gaming assets between its investment entities, including USD 12 billion in gaming shares transferred to Savvy in January.
Mobile gaming offers a major growth opportunity. Industry platform Newzoo estimates that the global mobile games market will exceed USD 121 billion this year, up 7% from 2025. Console gaming is projected to reach USD 47 billion, while PC gaming is expected to generate USD 46 billion.
However, EA faces financial pressure following its leveraged buyout, which left the publisher with USD 18 billion in debt. The company has also promised USD 700 million in cost reductions, according to gaming media reports.
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Analysts warn that combining large gaming businesses could create cultural conflicts, job cuts and operational problems. Joost van Dreunen of New York University's Stern School of Business said, ‘The primary risk that I see here is integration.’
Savvy must also complete the Moonton acquisition and appoint a permanent chief executive. Analysts expect further targeted acquisitions could follow, with Japan, South Korea and China among the potential markets.