Saudi Arabia also wants to take over (even more) the world of video games and esports. With multi-million dollar investments, the Saudis are maneuvering to deploy resources and strategies with the aim of becoming a global industrial hub that produces products and exports a successful international franchise. “We want to become a global center for video games and e-sports,” the prince explained Faisal bin Bandar bin Sultan Al Saud, president of the International E-Sports Federation (IESF), in an interview with AFP during a visit to Tokyo. As part of the Vision 2030 program, aimed at diversifying an oil-based economy, the kingdom has already invested 38 billion dollars in this gaming strategy, criticized by human rights advocates as a way to whiten the image of a country in where dissidents are imprisoned and executions are frequent. Riyadh’s goal is to create 39,000 video game-related jobs or e-sports and ensure that these sectors generate 1% of GDP by 2030.
Riyadh will host an e-sports world cup this summer, which will award more than $60 million to winners and hopes to attract millions of fans as well as global media attention. Video games and e-sports “naturally bring to mind” countries like Japan or South Korea, but “we want Saudi Arabia to have an active part in this conversation,” says Prince Faisal. However, the prince acknowledges to see e-sports as “a gateway” to a much larger universe, because “what we want to build is a holistic industry” of video games. To achieve this goal, the kingdom acquired Scopely, a California studio specializing in mobile games, for $4.9 billion in 2023. Its “Monopoly Go” game, launched last year, generated $2 billion in revenue dollars in just ten months.
Non-stop investments
More big acquisitions are on the horizon, he warns Brian Ward, CEO of Savvy Games, the group owned by the very powerful Saudi Public Investment Fund, at the center of the country’s strategy. “We never stop. We always move forward at full speed,” he explains to AFP. The hope is that, over time, Savvy can take advantage of the fund’s huge investments in major international studios, such as the American Activision Blizzard and the Japanese Nintendo and Capcom. “We will find ways to build more meaningful partnerships with them, beyond simply seeking a financial return,” for example in e-sports or to help them make a name for themselves in the Middle East. “We want to have a tangible and recognized impact in ten years’ time, building not only a global hub, but also a more territorial one, which brings the entire region with it,” adds Prince Faisal.
In addition to mobile games, the country hopes to produce a big-budget game for consoles by 2030, “created in Saudi Arabia by Saudis”, and to develop its own licenses. We have a long tradition in the world of storytelling and entertainment, just think of Aladdin, One Thousand and One Nights, Sinbad…” …. All these stories have been told everywhere, but never by us”. Saudi Arabia’s offensive into the video game industry has been strongly criticized by human rights advocates. The murder of Saudi journalist Jamal Khashoggi, which occurred in October 2018 in the kingdom’s consulate in Istanbul, was blamed by US intelligence on Crown Prince Mohammed bin Salman, the mastermind of the Vision 2030 plan. And the protests against the country, which criminalizes homosexuality, led to the collapse in 2020 of a partnership between US video game publisher Riot Games and the future Saudi city of NEOM. “We are a country in transition, we are opening up” little by little, says the prince, for whom “there are many misconceptions about Saudi Arabia and who the Saudis are”. “We have a conservative culture, even by nature. But that doesn’t mean we distance ourselves from people’s desires,” he insists.
It was important to me that Savvy could operate as a true video game company,” says Ward, “in line with the values and culture of our industry.” And “we were given carte blanche,” he adds. “We don’t do anything different, even if we have our headquarters in Riyadh, than what is done in New York, Los Angeles or Berlin.”
A future for the young generations
“One of the objectives of eSports” explain the Saudi authorities “is to create career paths for thousands of young people in Saudi Arabia who are enthusiastic about video games and aspire to find a career path that corresponds to their desires. Already in 2022, Prince Faisal made clear forecasts for the sector: by 2030, over 35,000 jobs will be created with a contribution of 13.3 billion dollars to the nation’s economy. Numbers similar to those reiterated in recent days. “We are a country of over 21 millions of players. We have more than five world champions in different eSports and over 100 professional teams,” he explained at the time. “Around these key players are thousands of enthusiasts who would achieve great feats if they found a career path in line with their passion.”