Saudi Arabia to invest $37 billion in gaming

As part of a contentious effort to increase Saudi Arabia's presence in the gaming industry, the government-funded gaming conglomerate The Savvy Gaming Group will invest $37.8 billion in the sector.

What it means: Savvy is well-positioned to acquire numerous gaming businesses and establish numerous of its own.

Details: According to the kingdom's press agency, Savvy has set aside more than $13 billion "for the acquisition and development of a leading game publisher to become a strategic development partner."

Minority investments are guaranteed another $18 billion.

The press agency noted that Savvy's efforts are anticipated to establish 250 game companies and generate 39,000 jobs.

Mohammed bin Salman, the Crown Prince of Saudi Arabia, has made the investments public.

Get ahead quickly: In January, Savvy made its debut by announcing that it would be purchasing esports organizations ESL and Faceit for $1.5 billion.

Brian Ward, CEO of Savvy, stated in March that the company had received the most start-up capital from the Saudi government's public investment fund ever.

Savvy has both local and global goals, including the establishment of Middle Eastern esports organizations and game development studios catering to a global audience.

A $1 billion investment in Swedish gaming conglomerate The Embracer Group was made public by Savvy in June.

In addition, the Saudi government has invested multiple billions of dollars in EA, Take-Two, Activision, Nintendo, and other companies.

Behind the scenes: Officials from Saudi Arabia and Savvy claim that this money will be used to broaden the economy as part of the country's Vision 2030 strategy.

However, many critics view the actions with skepticism because they are seen as an attempt to rectify the kingdom's human rights record, which includes supporting the war in Yemen and the oppression of its citizens.

Savvy's board is chaired by the Crown Prince, who has been linked to the brutal murder of journalist Jamal Khashoggi.

Ward told Axios in March that he was "not over there on an image makeover project" and that Savvy's objectives were real and for the benefit of the gaming industry.