China-based tech giant ByteDance has agreed to sell Moonton Technology, the studio behind the hit mobile title Mobile Legends: Bang Bang, to Savvy Games Group, a Riyadh-based firm backed by Public Investment Fund. The deal marks a significant move in the global gaming industry, although official financial details were not disclosed.
Deal Valuation and Strategic Context
The transaction values Moonton at more than $6 billion, aligning with earlier reports that estimated the deal between $6 billion and $7 billion. The acquisition underscores Saudi Arabia’s aggressive push into the gaming and esports sector through Savvy Games Group, which is expanding globally via acquisitions and strategic investments, Reuters news report said.
For ByteDance, the sale reflects a broader shift in priorities. The parent company of TikTok is focusing on artificial intelligence, including the development of proprietary AI chips and advanced large language models to strengthen its position in China’s competitive tech landscape.
Gaming Industry Consolidation Accelerates
The Moonton deal highlights ongoing consolidation in the global video game industry, where major players are racing to secure valuable intellectual property, expand distribution channels, and scale operations internationally. As competition intensifies, acquisitions like this are becoming central to growth strategies.
Savvy Games Group’s purchase of Moonton strengthens its foothold in mobile gaming, one of the fastest-growing segments in the industry. The company aims to leverage Moonton’s expertise and global player base to expand its reach in esports and interactive entertainment.
Leadership and Operational Continuity
Moonton CEO Zhang Yunfan confirmed that the company’s management structure will remain unchanged following the acquisition. He will continue to lead the Shanghai-based studio, ensuring continuity in operations and development.
Savvy Games Group CEO Brian Ward said the acquisition will enhance the company’s leadership in mobile gaming, deepen its talent pool, and expand its global footprint. The deal is also expected to strengthen Savvy’s presence in esports and improve its ability to deliver engaging gaming experiences worldwide.
ByteDance’s Previous Investment in Moonton
ByteDance originally acquired Moonton in 2021 through its gaming division Nuverse, valuing the studio at around $4 billion at the time. The latest deal represents a substantial increase in valuation, highlighting the growing importance of mobile gaming assets in the global digital economy.
Outlook for the Global Gaming Market
The acquisition signals continued momentum in cross-border investments within the gaming industry. With sovereign wealth funds like Saudi Arabia’s Public Investment Fund backing large-scale deals, the sector is likely to see further consolidation, innovation, and competition in the coming years.
RAJANI BABURAJAN
