Niantic Sells Gaming Division Including Pokémon GO, Announces Major Layoffs Amid Corporate Restructuring

Niantic, the developer best known for its hit mobile game Pokémon GO, has confirmed the sale of its entire games division, which includes globally popular titles like Pokémon GO and Pikmin Bloom.

The transaction, valued at an impressive $3.5 billion, marks a significant shift for the company, as it reorients its business strategy and brand now under the name Niantic Spatial.

This transformation also brings challenging consequences, as the company has announced substantial layoffs impacting its workforce. The news of the division's sale and subsequent layoffs comes on the heels of extensive internal restructuring.

According to an official Worker Adjustment and Retraining Notification (WARN) report published in Canada, Niantic will be letting go of 68 employees effective May 20, 2025.

This decision was earlier referenced in a March 20, 2025, Niantic blog post where CEO John Hanke acknowledged that some roles would "no longer be required" as the organization sharpens its focus on a new strategic direction. "As we set out on our new journey as Niantic Spatial, we need to operate with the lean mindset of a startup, primarily focusing on future objectives," Hanke explained in the blog post.

He emphasized that the company conducted a thorough assessment of its organizational structure, concluding that certain positions were not aligned with its evolving objectives.

Hanke stressed that these layoffs are not a reflection of the affected employees' performance, underlining the company's respect and gratitude for their contributions.

"This week, we are sharing this news directly with the team members whose roles are impacted.

These choices are incredibly tough, and while they don't point to any shortcomings in individual performance, we understand the effect on our staff and are committed to supporting them as they transition to new opportunities." Niantic's sale of its games business, which spans influential titles built in close partnership with Nintendo—such as Pokémon GO and Pikmin Bloom—and their availability in the mobile gaming market and on platforms like the Nintendo Switch, is one of the largest transitions in recent industry memory.

Pokémon GO, for example, has shattered records since its launch, boasting millions of active users and consistently ranking among the top-grossing mobile titles.

Pikmin Bloom, another collaboration with Nintendo, has also made a distinctive mark with its unique blend of augmented reality and location-based mechanics. The corporate restructuring and shift to Niantic Spatial is a move that underscores the volatility and transformative nature of the gaming industry.

Despite recording a staggering $3.5 billion from the sale, the company determined that streamlining was necessary to refocus on its core vision.

As Niantic moves forward with its new identity and strategic priorities, the legacy of its partnership with Nintendo and its impact on the mobile gaming landscape is certain to remain influential.

Pokémon Niantic Pikmin Bloom Niantic Spatial Pikmin Pokémon GO