Niantic, the masterminds behind the wildly popular Pokémon Go launched in 2016, recently confirmed they are selling their gaming branch to Scopely for an impressive $3.85 billion, aligning with earlier reports from Bloomberg. With this transaction, Niantic intends to channel its energy into enhancing its cutting-edge AI-driven geospatial and AR technologies.
As part of this monumental deal, Scopely, which is notably backed by Saudi investors, will acquire several of Niantic’s beloved titles. These include Pokémon GO, Pikmin Bloom, and Monster Hunter Now, along with the original development teams who crafted these games. This transfer is set to ensure that these games continue to thrive under fresh ownership.
In light of this shift, Niantic is spinning off a new venture called Niantic Spatial. This new entity will zero in on pushing the boundaries of geospatial AI technology, combining location data with sophisticated machine learning algorithms and artificial intelligence. The aspiration is to develop tools that enrich our interaction with and understanding of the physical world.
Niantic Spatial’s mission is to weave “spatial intelligence” into various realms, hoping to utilize its tech prowess in industries ranging from logistics to entertainment. It’s not all for consumer games anymore. The company plans to apply its geospatial and AR innovations in enterprise settings.
John Hanke is steering this new ship, backed by a hefty $250 million — with $200 million coming from Niantic and an additional $50 million from Scopely. Niantic Spatial aims to create AI solutions tailored for sectors like construction and logistics, continuing to improve on its Scaniverse and Visual Positioning System (VPS) technologies.
Having snapped up Scaniverse from Toolbox AI in 2021, Niantic has a powerful 3D scanning solution at its disposal. This tool uses Gaussian splatting to craft detailed digital replicas of real-world objects and surroundings. Recently, they released “Into the Scaniverse” for the Quest platform, letting users capture their environments on phones and experience them through a headset.
In 2022, they launched the Visual Positioning System. This geospatial AI innovation facilitates extremely accurate location tracking and AR navigation, praised for its centimeter-level precision. This technology has already been infused into several games, including Pokémon GO and Ingress.
However, what seems to be absent from this new strategic focus is any update on Niantic’s AR hardware initiatives. Towards the end of 2022, Niantic revealed a partnership with Qualcomm, exploring a reference AR headset powered by the Snapdragon AR2 platform.
There’s been silence since then regarding this AR reference design, initially intended to inspire companies to develop AR headsets suited for outdoor use.
Overall, this acquisition marks a significant pivot for Niantic away from traditional gaming, turning its attention to the realm of geospatial AI and enterprise AR solutions. Rather than developing new games, Niantic is set on advancing their expertise in Visual Positioning Systems, 3D mapping, and AI-driven AR technologies, laying the groundwork for the next wave of augmented reality innovations.
