Niantic Spatial lays off 68 staff after $3.5bn games business sale to Scopely

Niantic Spatial has reportedly laid off 68 employees following the $3.5 billion sale of its games business to Savvy Games Group subsidiary Scopely.

Games Developer spotted that the company filed a Worker Adjustment and Retraining Notification (WARN) in California, signaling that 68 employees would be laid off effective May 20th, 2025, as required by state law mandating 60 days' notice before mass layoffs.

Niantic Spatial CEO John Hanke previously noted there would be layoffs at the firm, stating it would streamline operations and allow the company to function more like a startup.

The layoffs affect Niantic Spatial, the newly formed company spun off after Niantic sold its games division to Scopely. 

“New focus”

“We carefully evaluated the structure we believe is needed for the new company, and after a lot of consideration, it became clear that some roles would not be required given our new focus," said Hanke in a statement. 

He added: “These decisions are never easy; they in no way reflect the individuals’ performance, and we understand their impact on people’s lives. 

“We deeply appreciate the talented individuals who helped us get here and for their many contributions, and will support them as they transition to new opportunities."

Niantic Spatial focuses on geospatial AI, a field Niantic had already been exploring alongside its games. It launched with $250 million in funding – $200m from Niantic and $50m from Scopely – aiming to accelerate growth and scale quickly.