Saudi Arabia’s Public Investment Fund (PIF) is exploring the possibility of boosting its stakes in Nintendo and other prominent Japanese gaming companies, according to a report by Kyodo News on Saturday. The move reflects the kingdom’s ongoing interest in the gaming sector as part of its broader strategy to diversify its economy.
In an interview with Kyodo, Prince Faisal bin Bandar bin Sultan Al Saud, vice chair of PIF’s gaming unit, confirmed the potential expansion of investments. However, he emphasized that the sovereign wealth fund is not in a hurry to make these moves, stressing that any increase in stakes would be conducted in a “friendly” manner. The report did not elaborate on the specific meaning of “friendly,” but it suggests that PIF aims to strengthen relationships with the gaming companies rather than engage in hostile takeovers.
PIF already holds significant investments in the gaming industry. As of now, it owns 8.58% of Nintendo, one of Japan’s most iconic video game companies. The sovereign wealth fund also has stakes in other major gaming firms, including Nexon, Capcom, and Koei Tecmo, according to the Kyodo report.
Saudi Arabia’s interest in the gaming industry is part of the country’s Vision 2030, an ambitious plan to reduce its dependence on oil and diversify its economy. Gaming is seen as a key sector with high growth potential, both globally and domestically. The PIF, which controls assets worth over $700 billion, has been actively investing in various sectors, including technology, entertainment, and sports, in recent years.
The PIF’s existing stake in Nintendo makes it one of the largest shareholders in the gaming giant, a company best known for franchises like Super Mario, The Legend of Zelda, and Animal Crossing. Nintendo has been experiencing strong growth, particularly due to the global popularity of the Nintendo Switch console and its expanding digital game sales.
By increasing its stakes in Japanese gaming companies, Saudi Arabia appears to be positioning itself as a significant player in the global gaming market. The gaming industry has been booming in recent years, with revenues exceeding $200 billion annually, and Japan remains a central hub for innovation and development in the sector.
While the timeline for PIF’s future investments remains uncertain, the fund’s growing interest in the gaming world underscores Saudi Arabia’s commitment to expanding its influence in high-growth, future-facing industries.
