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ByteDance Ltd. has officially agreed to sell its gaming division, Moonton Technology, to Savvy Games Group for a staggering $6 billion. This transaction, as reported by Reuters on March 20, 2026, marks the end of a lengthy search for a buyer and signals a significant shift in the strategic direction of the parent company behind TikTok. The sale values the Shanghai-based studio at a substantial premium compared to the $4 billion ByteDance initially invested in 2021.
Reasons behind ByteDance’s decision to sell Moonton: Embracing generative AI
The divestment of Moonton signifies ByteDance’s complete withdrawal from the high-budget gaming sector. After a comprehensive overhaul of its gaming arm, Nuverse, in late 2023, the company began reducing its in-house development activities. The leadership has opted to redirect financial resources and technical talent towards generative artificial intelligence and the expansion of its core social media and e-commerce platforms.
Financial analysts note that ByteDance is focusing on integrating AI to stay ahead of its global tech competitors. The sale of Moonton enables the company to secure a $2 billion profit on its initial investment while shedding the substantial operational costs associated with managing a large international gaming workforce.
TMobile Legends: Bang Bang player base and market value in 2026
Moonton Technology is responsible for creating Mobile Legends: Bang Bang, a highly successful mobile game with over 1.5 billion total installations as of March 2026. The game continues to attract more than 110 million monthly active users, particularly excelling in Southeast Asian markets like Indonesia and the Philippines, where it has become a cultural and esports phenomenon.
As per the agreement, Moonton is set to maintain its existing management team and operational independence. Savvy Games Group plans to leverage the studio’s mobile development expertise to advance its objectives in the competitive gaming industry. With over 2,000 employees spread across offices in China, Singapore, and various Southeast Asian cities, the studio is a formidable player in the market.
Expansion of the Saudi PIF gaming portfolio through Savvy Games Group’s acquisitions
The acquisition of Moonton is a key part of Saudi Arabia’s “Vision 2030” initiative, aimed at establishing the kingdom as a global gaming and esports hub. Savvy Games Group, a subsidiary of the Public Investment Fund, has been actively pursuing multi-billion dollar deals to solidify its position in the industry. This strategy includes the ongoing $55 billion privatization of Electronic Arts, approved by shareholders in December 2025 and expected to conclude by June 2026.
This recent acquisition spree builds on previous high-profile purchases, such as the $4.9 billion acquisition of mobile developer Scopely in 2023 and the $3.5 billion deal to integrate Niantic’s gaming assets in 2025. These acquisitions, along with the $1.5 billion merger forming the ESL FACEIT Group, grant the Saudi government significant influence in both game development and global tournament infrastructure.
Saudi Arabia Vision 2030: Impact on the global gaming and esports landscape
With the Moonton deal finalized, Saudi Arabia now boasts a diverse portfolio spanning mobile esports in the East and traditional gaming powerhouses in the West. The Public Investment Fund also holds substantial minority stakes in industry giants like Nintendo, Capcom, and Take-Two Interactive.
While promises of creative autonomy have been made to the acquired studios, the sheer scale of these investments indicates a significant shift in the global gaming market’s dynamics. The transfer of Moonton’s assets is slated for completion by the end of the current quarter, cementing the kingdom’s role as a major owner of digital intellectual property.