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Apple Acquires RAC7 Studio to Boost Apple Arcade Gaming

Apple has acquired RAC7, the two-person studio behind the popular Apple Arcade game Sneaky Sasquatch. This move aims to strengthen Apple Arcade by growing existing titles and continuing collaborations with third-party developers. With mobile gaming generating nearly half of all gaming revenue, Apple's acquisition signals a strategic push into this lucrative market.

Published May 27, 2025 at 07:06 PM EDT in Software Development

Apple, widely recognized for its iPhones and MacBooks, is making a significant move into mobile gaming by acquiring RAC7, a small studio known for the hit Apple Arcade game Sneaky Sasquatch. This acquisition was confirmed by Apple, highlighting their commitment to enhancing the Apple Arcade experience.

Sneaky Sasquatch, released in 2019, has been a standout title on Apple Arcade, earning the 2020 Apple Arcade Game of the Year award. RAC7 has consistently updated the game, maintaining player engagement and showcasing the studio's creative capabilities.

Apple's acquisition is not just about owning a game studio; it’s a strategic step to grow RAC7’s existing titles and continue delivering quality content on Apple Arcade. Despite this move, Apple plans to keep collaborating with third-party developers to enrich the platform’s game library.

This strategy aligns with trends seen in other tech giants like Netflix and Microsoft, which have also acquired gaming studios to bolster their gaming services. Apple’s entry into owning studios reflects the growing importance and profitability of mobile gaming.

Mobile gaming accounted for about half of all gaming revenue in 2023, generating approximately $90 billion, according to a 2024 NewZoo report. Apple’s Apple Arcade service is well-positioned to capitalize on this lucrative market by delivering exclusive and engaging games directly to users’ devices.

By integrating RAC7 into its ecosystem, Apple can accelerate innovation and maintain a competitive edge in mobile gaming. This move also signals to developers and gamers alike that Apple is serious about expanding its footprint beyond hardware into content creation and gaming experiences.

What This Means for Developers and Gamers

For developers, Apple’s acquisition of RAC7 highlights the potential benefits of partnering with or joining platforms that invest directly in game development. It opens doors for more exclusive content and possibly new funding or support models within Apple Arcade.

Gamers can expect continued updates to Sneaky Sasquatch and potentially new titles developed by RAC7 under Apple’s guidance. This could lead to richer, more immersive gaming experiences exclusive to Apple Arcade subscribers.

In conclusion, Apple’s acquisition of RAC7 is a clear signal of the company’s ambitions in the mobile gaming space. By combining hardware, software, and now game development, Apple is positioning itself to be a major player in an industry that continues to grow rapidly.

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