Mattel to acquire full ownership of Mattel163 mobile games studio

The California-based toy manufacturing giant Mattel Inc. announced on Tuesday its definitive agreement to acquire the remaining 50% stake in Mattel163, a mobile gaming joint venture, from the Chinese internet technology company NetEase. This strategic buyout, which positions Mattel as the sole owner of the studio, aims to accelerate the company’s digital gaming expansion and capitalize on the significant growth of its mobile titles such as Uno! and Phase 10. By integrating the studio fully into its corporate structure, Mattel intends to more effectively leverage its iconic intellectual property across the global digital landscape. Since its inception in 2017, Mattel163 has established itself as a major player in the mobile gaming sector, amassing over 350 million players worldwide and generating hundreds of millions of dollars in annual revenue. The studio was originally founded as a 50/50 partnership to combine Mattel’s world-class brands with NetEase's deep expertise in game development and publishing. Under the full control of Mattel, the studio is expected to continue its trajectory of high performance, maintaining its current leadership and operational independence while gaining more direct access to Mattel’s broader marketing and franchise ecosystems. Financial analysts suggest that this move aligns with Mattel’s broader strategy to transform into an IP-driven high-performing toy company. By owning 100% of Mattel163, the company will no longer have to split profits with a partner, potentially bolstering its earnings from the high-margin digital sector. This acquisition follows a successful period for Mattel's entertainment division, which has seen a resurgence in brand relevance following various cinematic and digital initiatives. The transition of ownership is expected to conclude following standard regulatory approvals and closing conditions.