Saudi Arabia's Strategic Expansion into Video Games and Esports Raises Concerns

Mar 12, 2025 at 7:17 PM

Recently, Saudi Arabia has intensified its efforts to improve its global image through investments in video games and esports. This strategic move follows a pattern of reputation laundering seen in sports sponsorship. Two significant developments highlight this trend: Scopely's acquisition of Pokémon Go and Capcom's partnership with the Esports World Cup. Both actions raise serious concerns about data privacy and ethical implications.

The Growing Influence of Saudi Capital in Location-Based Gaming

The recent acquisition of Pokémon Go by Scopely, valued at $3.85 billion, marks a significant shift in the ownership structure of location-based gaming. Previously controlled by Niantic, an American company, these games now fall under the purview of a Saudi-owned entity. This transition introduces complex questions about data management and player privacy. The integration of AI models that rely on vast amounts of location data adds another layer of complexity to this already intricate ecosystem.

Scopely's investment in Niantic Spatial, a new venture focused on AI-driven navigation, underscores the company's commitment to leveraging location data for future innovations. However, this also raises concerns about how historical and ongoing location data will be handled. Players who initially agreed to share their locations may not have anticipated such extensive use of their information. The shift from American to Saudi control over these data streams presents unprecedented challenges regarding transparency and accountability. The potential misuse of this sensitive information cannot be overlooked, especially given Saudi Arabia's controversial human rights record.

Capcom's Partnership with the Esports World Cup: A Closer Look

Capcom's three-year deal with the Esports World Cup (EWC) represents another step in Saudi Arabia's strategy to embed itself within the esports community. This partnership ensures that EWC becomes an integral part of Street Fighter 6's competitive scene. Top players from various tournaments will qualify directly for the EWC finals, making it almost unavoidable for fans and participants alike. The inclusion of EWC-related content within the game interface further cements its presence.

This development is particularly noteworthy as it demonstrates Saudi Arabia's ability to influence major gaming events and platforms. While less immediate than the Pokémon Go acquisition, this partnership still contributes to the broader narrative of reputation laundering. By aligning with popular franchises like Street Fighter, Saudi Arabia aims to divert attention from its problematic human rights practices. It's crucial for the gaming community to remain vigilant and critically evaluate these partnerships. Organizations like Amnesty International and Human Rights Watch provide valuable resources for those seeking to understand the full scope of these issues.