How the Pokémon franchise maintains its popularity after three decades
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How the Pokémon franchise maintains its popularity after three decades

What started as a simple game concept involving collecting, exploring, trading, and battling has evolved into a shared experience appealing to different generations. Today, many people—whether players, collectors, traders, or investors—are connected to Pokémon, which is remarkable considering how an ordinary game achieved such a massive scale.

When Pokémon Red and Blue first appeared in Japan in 1996, the idea was quite straightforward: players traveled through a fictional world, caught creatures, trained them, and battled other Pokémon. After thirty years, Pokémon has long surpassed the realm of video games; it encompasses games, trading cards, animated television, films, toys, apparel, collectibles, mobile games, and collaborations with major brands.

Why is Pokémon still everywhere after 30 years?

Franchises have an expiration date. Attempts are sometimes made to save a franchise by releasing a film, series, or new product to create hype, but most franchises and their associated buzz fade within a few years. However, Pokémon seems almost invincible.

The longevity of Pokémon is due to a combination of several factors. The simple concept, initially focused on collecting, exploring, trading, and battling, transformed into a social experience that attracts various generations, allowing parents who grew up with Pokémon to introduce it to their children.

How did Pokémon begin?

The original Pokémon games were developed by Game Freak and published by Nintendo. The first titles, Pokémon Red and Green, were released in Japan in February 1996 for the Game Boy. These games introduced the basic formula that remains central to the franchise: catching Pokémon, training them, battling them, and trading them with other players.

The Game Boy link cable was innovative and stood out at the time because it allowed players to exchange Pokémon between different games, turning collection into a social process rather than something confined to a single console.

Anime turned Pokémon into a global phenomenon

The animated series played a key role. The show helped introduce the characters to audiences who might never have played the Game Boy games. This was particularly relevant for residents of South Africa, many of whom remember tuning in on SABC 2 and ETV to watch the show. Even if they didn't have access to a Game Boy, it was the anime that initially made them love the franchise.

Although fictional, Ash Ketchum and Pikachu became recognizable names, and the television series gave Pokémon personality and stories, whereas initially they existed primarily as game characters. This allowed Pokémon to transcend being just a game product and become a broader entertainment brand.

The trading card game created another way to collect Pokémon. While early collectors may not have known it, Pokémon added the Pokémon Trading Card Game (TCG) to its franchise. Players could collect cards, trade them, and compete with decks. Over time, some cards became highly sought-after collectibles. This step was interesting because it created a Pokémon audience who did not necessarily need to own a video game to participate in the franchise. This is what appeals to older fans today, who may be more interested in the financial aspect. Collectible cards can yield huge profits due to the existence of desirable items.

Nostalgia has become an important part of Pokémon's appeal, but the franchise has not remained stuck in the 1990s. The core idea may be familiar, but newer generations of games feature new Pokémon, regions, and gameplay mechanics. The franchise has also expanded into mobile games, such as Pokémon Go.

Pokémon remains visible among adults because people who encountered the franchise in the 1990s and early 2000s grew up with it. By now, these adults may have their own children who can also become mini-fans of the franchise. Thus, the franchise has managed to attract both a new generation of children and adults who grew up with Pokémon. For those who played Pokémon on the Game Boy as children or watched the anime on TV, seeing Pikachu, Charizard, or the original games can evoke childhood memories—a place we all love to return to because life was simpler then. For some, it is not just a show, or 'just a game', or 'just cardboard.' For them, it embodies childhood, good memories, and fun times with loved ones.

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Gaming sector records major mergers and acquisitions in 2026 despite mobile market difficulties
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Gaming sector records major mergers and acquisitions in 2026 despite mobile market difficulties

In 2026, the gaming industry witnessed significant mergers and acquisitions, even while facing challenges in the mobile sector. On August 4, 2026, the Saudi Arabian Public Investment Fund finalized the acquisition of EA for US$ 55 billion, establishing the largest LBO (Leveraged Buyout) in history. Five months before this event, the same fund had invested US$ 6 billion in Moonton, owner of MLBB.

During the period between the two transactions, the mobile gaming market experienced a 12% retraction in downloads and a 2% decrease in revenue generated by players. Despite the sharp market decline, the amounts paid were high, indicating discrepancies in indicators.

According to surveys by Drake Star, the 2026 figures are notable. In the first quarter, 51 M&A deals were recorded, totaling over US$ 100 billion in disclosed value. Although the mobile segment was a driver of this movement, the most prominent deal was the union between Paramount and Warner Bros. Discovery – which includes Warner Bros. Games – and the purchase of Moonton by Savvy Games, valued at US$ 6 billion.

Other significant acquisitions included Scopely's purchase of majority stakes in Loom Games (valued at over US$ 1 billion), and NCSOFT's acquisition of JustPlay (valued at US$ 202 million). The acquisition of Bluetile Games by Nazara, the purchase of a stake in NetEase by Mattel in Mattel163, and the acquisition of Budge Studios by Haveli were also noteworthy.

In addition to acquisitions, private financing reached substantial figures, totaling 106 deals with an aggregate value of US$ 785 million in the first quarter. In the second quarter, Drake Star reported positive results, with 51 transactions maintaining a 'healthy' level, totaling US$ 1.4 billion. These transactions mainly involved PC/console and mobile game studios, as well as small and medium-sized enterprises.

Among the second-quarter deals, the acquisition of Playstack by IMC (a TPG investment vehicle), the repurchase of management of CCP Games by Pearl Abyss, the purchase of Hipster Whale by Atari, and the acquisition of Metacore by Supercell stand out. Private financing in this quarter exceeded US$ 2.5 billion, making it the strongest in the last 12 months and the second largest in the last three years.

However, these totals still do not surpass the volume of 2025, which registered US$ 161 billion in disclosed value. This amount was driven by the US$ 55 billion LBO of EA and the US$ 82.7 billion offer from Netflix to Warner. The difference lies in the counting methodology: both 2025 deals were recorded on the announcement date. The EA LBO, announced on September 29, 2025, and the Netflix offer to Warner, were included in that year's accounting.

Although the EA money was only transferred in August 2026, after approval by the US foreign investment committees and the European Commission on September 21, Paramount sealed a deal with the 12 states contesting the purchase of Warner Bros. Discovery. This allowed the US$ 110 billion deal to be concluded before the end of the month. If both operations are accounted for by the closing date, 2026 concentrates the largest LBO and the biggest merger in Hollywood history involving game studios. Despite this, in terms of announced value, 2025 remains higher, but in terms of effectively paid value, 2026 has no historical precedent.

Even with numerous acquisitions in the mobile sector, the first half of 2026 recorded US$ 40 billion in player spending, representing a 2% drop compared to the previous year. The situation is worsened by a 12% drop in downloads, totaling 24 billion. Additionally, the first quarter showed 11.9 billion game installations, the worst first-quarter record since 2019, according to Sensor Tower.

The report also points to advertising as an increasingly vital revenue source for mobile game publishers, especially due to reduced consumer spending. According to the company, developers are prioritizing hybrid monetization strategies, combining in-app purchases with advertising to compensate for the audience slowdown.

It is crucial to note that Sensor Tower only considers data from Apple's App Store and Google Play, excluding D2C (Direct-to-Consumer) data, alternative Android stores in China, and ad revenue. Incorporating this data changes the numbers significantly, as evidenced by the Newzoo survey. The latter points to a value of US$ 113.3 billion for 2025, contrasting with Sensor Tower's US$ 81.75 billion, and projects US$ 121.1 billion for 2026.

The paradox is explained by the increase in customer acquisition cost. The cost per install rose by 30% in 2025, reaching US$ 0.56, while downloads continued to fall for the second consecutive year. Faced with a restricted funnel and expensive acquisitions, it becomes more advantageous to acquire a studio already with a base of paying users than to compete for new users. Furthermore, the profile of the buyers is relevant: sovereign funds operate with a long-term horizon, without the pressure of immediate quarterly results. Thus, mobile has not stopped generating revenue, but rather has ceased to show growth, transforming it into an opportunity asset.

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