Highlights
- Mergers and acquisitions in gaming reached $7.7B during Q1 2026.
- Mobile acquisitions from Scopely, NCSoft, Mattel, and Nazara drove consolidation.
- Console revenue topped mobile, reaching $21.7B during the quarter.
Games industry mergers and acquisitions (M&A) reached $7.7 billion USD across 52 deals in the first quarter (Q1) of 2026, according to Aream & Co’s Video Game Market Update. Savvy Games Group led activity with its $6B acquisition of Moonton. The report described the quarter as a post-pandemic record, excluding mega-deals such as Microsoft’s acquisition of Activision Blizzard.
The total more than tripled Q1 2025’s $2.4B and followed a quiet Q4 2025 that saw $400M in transactions.
Mobile-focused acquisitions accounted for the majority of activity, with several notable deals completed during the quarter:
- Alongside the Moonton deal, Savvy subsidiary Scopely acquired Loom Games for $1B.
- NCSoft acquired a 70% stake in JustPlay for $202M.
- Mattel has announced plans to fully acquire Mattel163 for $159M.
- Nazara agreed to purchase a 50% controlling stake in Bluetile for $100M.
The concentration of deals reflected continued consolidation in mobile publishing and services.
Console Revenue Overtakes Mobile as Investment Activity Shifts
Beyond M&A, the report showed restrained capital markets and weaker early-stage investment.
Loom Games, Microfun, and Century Games ranked among the fastest-growing US publishers, followed by Bandai Namco and Voodoo. Studios in Asia and Türkiye also expanded their revenue share.
Public offerings totaled $1B across 11 deals. Meanwhile, private investments reached $800M across 101 transactions, increasing year-over-year (YoY) but declining quarter-over-quarter (QoQ). The number of VC-led early-stage deals hit a post-pandemic low, with Arcadia, Bitkraft Ventures, and Griffin most active.
However, the report noted that “broader macroeconomic headwinds and AI-driven market rotation weighed on public equities,” which contributed to subdued public capital offerings.
Platform performance diverged during the quarter. Console revenue reached a record $21.7B, surpassing mobile in-app purchase revenue of $20.5B. Despite declines in PS5 and Xbox sales, the success of the Switch 2 supported the growth.
Likewise, Steam generated an all-time quarterly high of $5.6B, driven by Western developers. Mobile revenue remained above $20B for a seventh consecutive quarter, even as downloads declined YoY.
The combined trends point to a market reshaping around consolidation, platform shifts, and cautious investment heading further into 2026.
