Google Spins Off Niantic Labs

Google is spinning off its Niantic Labs activity, responsible for the augmented reality game Ingress and a location based mobile app. Ingress is a very successful augmented reality game, which has been downloaded more than 12 million times and which uses a smartphone as the play platform. Within the game, augmented reality game play is laid on top of real life objects, which was attractive for establishments to attract the players to their site.

Soon after Google created the Alphabet holding company (Google Creates Alphabet) it announced that Niantic Labs will become an independent business. From the information available, Niantic Labs seems to aim at expanding its co-operation with other companies within its realm.

Analysts from Motley Fool see the spin-off as a consequence of the Google restructuring that will make investments and activities more transparent for investors. Google, or more precisely, Alphabet will remain a major shareholder in Niantic Labs to reap the potential benefits of its early investments. – NH