Saudi Arabia Wants to Increase Its Investment in Nintendo

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Saudi Arabia Wants to Increase Its Investment in Nintendo

Key Takeaways

  • Saudi Arabia aims to become a hub for gaming by 2030, investing heavily in the industry.
  • The country is Nintendo’s largest shareholder and also holds stakes in other gaming giants.
  • Although Saudi Arabia has no plans to influence game development, some titles have been censored before release in the country.

As someone who has spent countless hours immersed in the vibrant world of video games, it’s fascinating to witness the global expansion of this industry. Saudi Arabia’s ambitious plans to become a gaming hub by 2030 are not just intriguing, but also promising for the future of gaming.

The Leader of Saudi Arabia has expressed a desire to maintain and grow the nation’s ties with Nintendo. While the gaming market is primarily concentrated in the United States and Japan, where Nintendo holds significant influence, other nations are showing interest in expanding their presence within the industry. This could lead to gaming reaching previously unanticipated regions. It remains uncertain if this relationship will impact the game content down the line, but it seems improbable at this point.

Saudi Arabia is advancing in the entertainment sector, particularly in the gaming industry. To foster economic diversity, the government-backed Savvy Games Group, active across various aspects of gaming such as eSports and publishing, is expanding its presence. The Kingdom has committed substantial financial resources to gaming, with signs of continued investment. Savvy Games Group aims to maintain a significant role in the gaming market, ultimately transforming Saudi Arabia into a major gaming hub by 2030.

During the Tokyo Game Show 2024, Kyodo News interviewed Prince Faisal bin Bandar bin Sultan Al-Saud from Saudi Arabia, who expressed further intentions of investing in Japan’s gaming industry. With Saudi Arabia transitioning away from a reliance on oil, its sovereign wealth fund group has been increasing investments in gaming, owning nearly 10% of Nintendo shares. When asked about future investment opportunities with Nintendo, the prince replied, “It could always be a possibility.” He emphasized that any potential increase in Saudi Arabia’s stake in Nintendo would be coordinated with the company, ensuring open and positive communication. Following this news, Nintendo’s stock price rose by approximately 4%.

Saudi Arabia Is Open to Investing More in Nintendo

Currently, Saudi Arabia is Nintendo’s biggest stockholder, and this ownership extends to other companies as well. Even though it may not be the largest investor for every company, the nation owns substantial shares of other gaming heavyweights, such as approximately 10% of Nexon, 5% of Capcom, and 9% of Electronic Arts (EA). It appears that Saudi Arabia has no immediate intentions to interfere with video game creation directly. However, beyond these investments, certain aspects of games like Spider-Man 2 have been pre-censored prior to their release in the country.

As gaming industry ties with Saudi Arabia strengthen, particularly with their plans to host the first Olympic eSports games in 2025, there may be increased focus on regulations like these. This could mark a significant year for both Saudi Arabia and the global gaming market, especially considering the upcoming release of the successor to the Nintendo Switch in addition to this competition.

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2024-10-08 05:53