Lemonade Stand Episode 2 - Purchase of Pokemon Go is about the data

Sure, it's a mobile game that is printing money as they covered, and listening to DougDoug talk about what they could do with Gen AI is something that could make sense in the future.

However, what's more valuable than money? Data.

https://nianticlabs.com/news/largegeospatialmodel?hl=en

Not only were they watching how you got to gyms, but they were capturing pictures of you throwing that Pokeball, or scanning that interesting object to build up their "VPS" or Visual Positioning System. So now, from one image, they can pretty accurately geolocate you.

Turns out, they were watching you catch Pokemon the whole time in the article released in November, and what have you given them? A world-wide Geospatial map of how you can also travel the world to all the locations of the world. Forget Sat views and GIS, we've got the exact way a Pokemon gym through your neighbours backyard to the gym.

So, yes, I agree with the basic thrust that it's not just about the game. And if I had to "speculate wildly" it's the data, and the models that Niantic Spatial will generate, as well as, the boatloads of cash that makes the speculative investment easier.

https://nianticlabs.com/news/niantic-next-chapter?hl=en

So, Scopely (the company acquiring Niantic's gaming division) is also investing $50m in Niantic Spatial, and $200m of the Niantic Inc. cap sheet is going to Niantic Spatial. So, you've got a cool $250m investment in what could be the next Google Maps, and a good-will gesture if they keep Pokemon going for years under Scopely.