Saudi Arabia wants to increase its investment in Nintendo

Key takeaways

Saudi Arabia aims to become a gaming hub by 2030, investing heavily in the industry.
The country is Nintendo's largest shareholder and also holds stakes in other gaming giants.
Although Saudi Arabia has no plan to influence game development, some titles have been censored before release in the country.

The prince of Saudi Arabia has said that he is willing to continue the relationship with the country Nintendo. The gaming market is largely based in the United States and Japan, with Nintendo dominating that space, but other countries have taken the initiative to get more involved in the industry, which can bring gaming into potentially unexpected places. It's unclear whether this relationship will influence the content of future games, but it doesn't seem likely.

Saudi Arabia is making progress in the entertainment business. In order to diversify the country's economy, Savvy Games Group, a country-funded company involved in various sides of the gaming industry, including esports and publishing, has taken steps to expand that reach. Saudi Arabia has invested billions of dollars in gaming, and it doesn't seem to be slowing down anytime soon. Savvy Games Group continues to plan to allocate key segments of the gaming market with the aim of making Saudi Arabia a gaming hub by 2030.

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Saudi Arabia became Nintendo's largest investor

Saudi Arabia's Public Investment Fund increases its stake in Nintendo, becoming the company's largest outside investor.

Kyodo News interviewed Saudi Arabia's Prince Faisal bin Bandar bin Sultan Al-Saud at the Tokyo Game Show 2024, and he indicated more interest in investing in Japanese gaming. As the country pivots from an oil-dependent economy, its sovereign wealth fund group has increased its investment in gaming, with its public investment fund claiming nearly a tenth of Nintendo's. Asked about the possibility going forward, Rajkumar said, “It's always a possibility,” adding that any move by the country to increase its stake in Nintendo would be in a deal with the company, preserving positive communication. After news of Saudi Arabia's continued interest in the relationship, Nintendo's stock bounced, with shares up nearly 4%.

Saudi Arabia is open to further investment in Nintendo

Saudi Arabia is currently Nintendo's largest shareholder, and that hold has spread elsewhere. Although it is not the largest investor for some, the country owns significant shares of other gaming giants, including 10% of Nexon, 5% of Capcom, and 9% of EA. Saudi Arabia doesn't seem to have any plans to directly influence video game development. However, outside of these investments, various elements such as some titles Spider-Man 2 was censored before release in the country.

As gaming is linked to Saudi Arabia, more attention can be drawn to such restrictions. The country plans to host the inaugural Olympic eSports Games in 2025, which will likely highlight the growing relationship between the country and the multinational gaming market. 2025 could be a defining year for Saudi Arabia and gaming, with a Switch successor on the horizon in addition to this tournament.