Mattel expands digital play portfolio with full acquisition of Mattel163 Studio

U.S.A. – Mattel, the global play and family entertainment company behind brands like Barbie, Hot Wheels, and UNO, has struck a deal with its joint venture partner NetEase to acquire full ownership of Mattel163, its mobile games studio.

Mattel163, launched in 2018, develops digital games based on Mattel’s iconic brands. The studio has released four titles—Uno! , Uno Wonder, Phase 10, and Skip-Bo—attracting around 20 million monthly active users and accumulating over 550 million downloads worldwide.

The transaction values Mattel163 at $318 million, with Mattel purchasing NetEase’s 50% stake for $159 million. More than half of the purchase price is expected to be funded from Mattel’s share of the joint venture’s cash, which is not consolidated on the company’s balance sheet. 

The acquisition is expected to be immediately accretive and is scheduled to close by the end of Q1, subject to customary conditions.

Full ownership of Mattel163 is expected to strengthen Mattel’s digital games business, bringing in development, publishing, and digital customer acquisition expertise. The company plans to leverage the studio’s capabilities to increase mobile game output and better align digital offerings with Mattel’s broader product portfolio.

Integrating Mattel163 with Mattel’s digital operations is also expected to generate scale efficiencies in performance marketing and cross-promotion, while creating greater synergy with brand marketing efforts. The move aligns with Mattel’s strategy to capture the full value of its intellectual property in high-margin entertainment verticals.

Ynon Kreiz, chairman and CEO of Mattel, said, “Our vision is to extend physical play to the virtual world by creating digital experiences and games based on Mattel IP that drive sustained engagement for fans of all ages.”

“Acquiring full control of Mattel163 does exactly that. It will play an important role in our digital strategy and significantly enhance our capabilities in self-publishing. The Mattel163 team has done remarkably well building this business from the ground up, and we look forward to welcoming them on board. Our portfolio of iconic brands lends itself perfectly to the digital world, and the acquisition will strengthen our position and accelerate our presence in a large, high-growth market,” Kreiz added. 

Mattel’s digital strategy is built on three pillars: licensing with global partners such as Take-Two, Xbox, SuperCell, Netflix, and Apple Arcade; self-publishing original mobile games, with two new titles planned for 2026; and expanding engagement on creator platforms including Roblox and Fortnite.