Just weeks after Niantic finalized a $3.85 billion deal to offload its entire games division to Scopely, the aftermath is beginning to show its full effects. The transaction, which included Pokémon GO, Pikmin Bloom, and Monster Hunter Now, also saw the transfer of all associated development teams to Scopely, a U.S.-based studio now part of Saudi Arabia’s Savvy Games Group.
At the time, Pokémon GO director Ed Wu reassured fans that the entire POGO team had made the transition—an update that gave even the most skeptical players a glimmer of hope. But now, it appears the real winners in the deal might be those very developers.
Niantic has officially confirmed a new round of layoffs, cutting 68 staff members who didn’t make the jump to Scopely. The layoffs were disclosed in a WARN Act notice filed in California, shedding light on what the company calls an effort to restructure around its new priorities.
CEO John Hanke had already teased Niantic’s “bold new course,” stating the company would now focus exclusively on augmented reality, artificial intelligence, and geospatial technologies. While many industry observers have long speculated that games like Pokémon GO served as Trojan horses for Niantic’s real agenda—data collection and AI development—this pivot seems to confirm those suspicions.
According to Hanke, Niantic aims to operate more like a “startup,” suggesting that “some roles would not be required” in light of the company’s new direction. A curious statement, given that Niantic is now flush with billions from its blockbuster sale.
For the 68 employees left behind, the message is clear: Niantic’s gaming chapter has officially closed, and those not on board with its AI-fueled future are no longer part of the plan.
