ByteDance in talks to sell gaming unit Moonton in $6B–$7B deal to Saudi Arabia’s Savvy Games

ByteDance is edging closer to a landmark deal that could redraw its gaming ambitions. The TikTok owner is in advanced talks to sell Shanghai Moonton Technology, the studio behind the hit mobile title Mobile Legends: Bang Bang, to Saudi Arabia’s Savvy Games Group, according to people familiar with the discussions.

The transaction is being discussed at a valuation ranging from $6 billion to $7 billion, with one source saying an agreement could be reached as soon as this quarter. Broad commercial terms are already in place, though the people declined to be identified since they are not authorized to speak publicly.

Neither ByteDance, Moonton, nor Savvy Games responded to requests for comment. Reuters reported the valuation range and timeline for the first time.

“ByteDance is in advanced talks to sell Shanghai Moonton Technology, the studio behind the popular mobile game Mobile Legends: Bang Bang, to Saudi Arabia’s Savvy Games Group in a deal valued at between $6 billion and $7 billion, Reuters reported, citing sources familiar with the ongoing talks.

The talks signal a sharp shift for ByteDance, which once viewed gaming as a core pillar beyond short-form video. In 2021, the company acquired Moonton for close to $4 billion through its Nuverse unit, a move aimed at building a global games business that could compete with established publishers. TechStartups covered that acquisition when it closed, framing it as ByteDance’s most serious push into interactive entertainment.

ByteDance Signals Major Retreat From Gaming With $6B–$7B Moonton Sale Talks

Five years later, the mood has changed. The Moonton sale would stand as ByteDance’s clearest retreat from online games after a 2023 internal review led the company to restructure its gaming operations. The shift comes at a moment when ByteDance’s core business is surging. Its first- and second-quarter 2025 revenue surpassed that of Meta’s Facebook and Instagram for the same periods, turning ByteDance into the world’s top social media company by sales, according to Reuters. A recent employee share buyback valued the firm at over $330 billion.

For Savvy Games, the potential acquisition fits neatly into a broader campaign to secure global gaming IP. Backed by Saudi Arabia’s Public Investment Fund, the group has spent aggressively to establish itself as a major force in games and esports. In 2023, it bought mobile game publisher Scopely for $4.9 billion. Earlier this year, Scopely acquired the game division of Niantic, the maker of Pokémon Go, in a $3.5 billion deal.

Moonton brings scale that few mobile studios can match. Founded in 2014, the company employs more than 2,000 people and runs offices across Southeast Asia, Latin America, and China. On its website, Moonton says Mobile Legends: Bang Bang has crossed 1.5 billion installs, draws over 110 million monthly active users, and ranks among the top ten most-played games in more than 80 countries.

If completed, the sale would add to ongoing consolidation across the video game industry, where publishers and sovereign-backed buyers are racing to lock down proven franchises and global distribution. For ByteDance, it would close a chapter that once promised diversification beyond social media. For Saudi Arabia, it would mark another high-profile step in a long-term bet on games as a pillar of its digital economy.