EA Is Now Officially Privately Owned (gamedeveloper.com) 49
Longtime Slashdot reader neoRUR shares a report from Game Developer: EA Sports FC and Battlefield publisher EA has been taken private by an investor consortium led by Saudi Arabia's sovereign Public Investment Fund (PIF). The move means the U.S. juggernaut is no longer a publicly-traded entity and is now majority owned by the Kingdom of Saudi Arabia through its PIF investment arm. Other investors include Silver Lake and Affinity Partners, the latter of which was established by U.S. president Donald Trump's son-in-law Jared Kushner.
The $55 billion transaction was financed via a combination of cash from PIF, Silver Lake, and Affinity Partners as well as roll-over of PIF's existing stake in EA -- constituting an equity investment of approximately $36 billion. Notably, $20 billion of debt financing was provided by JPMorgan Chase Bank. The deal cleared the necessary regulatory hurdles in July, paving the way for its completion at the close of trading on August 4, 2026. It was approved by regulators in major markets such as the European Union and the United States without incident, despite lawmakers and union leaders in the U.S. calling on the Federal Trade Commission to heavily scrutinize the leveraged buyout over geopolitical and employment concerns.
The $55 billion transaction was financed via a combination of cash from PIF, Silver Lake, and Affinity Partners as well as roll-over of PIF's existing stake in EA -- constituting an equity investment of approximately $36 billion. Notably, $20 billion of debt financing was provided by JPMorgan Chase Bank. The deal cleared the necessary regulatory hurdles in July, paving the way for its completion at the close of trading on August 4, 2026. It was approved by regulators in major markets such as the European Union and the United States without incident, despite lawmakers and union leaders in the U.S. calling on the Federal Trade Commission to heavily scrutinize the leveraged buyout over geopolitical and employment concerns.
Great (Score:5, Insightful)
Another, and even better, reason to never touch anything produced or published by EA ever again. Fuck the Saudis.
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in the end it's the same. Some idiots with cash juggle trinkets not understanding that those mean nothing
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Re: Great (Score:2)
Re:Great (Score:5, Funny)
Yeah, I was thinking "We can stick it to KSA and Jared Kushner at the same time, just by not buying EA games? Where do I sign up?"
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Re:Great (Score:4, Funny)
Does this mean I can't use Deluxe Paint III on my Amiga any more? *sighs* OK then!
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I have such fond memories of EA from the '80s, but as far as I'm concerned, that's a completely different and unrelated entity.
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I use so little EA stuff these days Deluxe Paint is literally the first thing I think of when I hear the name!
I guess it's like hearing "HP printer" and thinking of those awesome postscript-running built-like-tanks laser printers nobody could afford in the 1980s/90s rather than $100 ink.
How the mighty have fallen *sighs*
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"EA Ruins Things"... (Score:5, Insightful)
Re:"EA Ruins Things"... (Score:5, Insightful)
Now complete with garbage misogyny, antisemitic genocidal nutbaggery, and the rest of the horrible baggage of the Saudi Terrorist Crime Family.
Ya, but then the Trump family connection ... never mind. :-)
Re: "EA Ruins Things"... (Score:2)
...when before, they had the horrible radical-postmodern USA garbage messaging that you probably highly approved of and clapped for publicly!
Funny how that works, when you think a megacorp is on your side and assume they support your activism!
Will be very interesting to see who they fire.
Re: "EA Ruins Things"... (Score:2)
Wow (Score:3)
I didn't think EA could get any worse.
old news (Score:1)
Poor Employees (Score:1)
EA is a Dead Man walking (Score:4, Insightful)
I expect they will start outsourcing things to foreign countries with cheap labor that they frankly can't really do because it's going to create weird cultural problems to do so. On top of that they have already started trying to add even nastier microtransactions in. And this is EA we are talking about.
I feel bad for anyone who's into their sports games because they're going to basically collapse but because of monopolies you're still going to be stuck with them. So if that was your hobby then it's basically going to go to shit and there's nothing you can do about it.
Once again this is one of those cases where antitrust law enforcement would have protected your hobby. People sometimes complain because I'm bringing politics into a hobbyist discussion but whether you like it or not politics is going to intrude on your life you don't get to stick your head in the sand anymore...
Re: EA is a Dead Man walking (Score:2, Insightful)
Once again this is one of those cases where antitrust law enforcement would have protected your hobby.
Antitrust?
Is EA a monopoly?
Is changing owners really that nefarious?
Seems like a real over-reaction, what pretext is there for the DOJ to try and block a private sale of EA to a consortium that includes an investor (Saudi Sovereign fund) that had $20BN invested?
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Changing owners is neither here nor there... but the leveraged buyout is pretty nefarious and will likely kill the company.
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Antitrust?
Is EA a monopoly?
Where did you get the ludicrously inaccurate and ignorant and therefore on-brand idea that antitrust only applies to monopolies?
That's not how antitrust law works (Score:1)
You don't have to be a monopoly to run afoul of antitrust law properly enforced. Just like how you don't have to murder somebody before you can be brought up on charges for conspiracy.
Re: That's not how antitrust law works (Score:2)
I'd assume that in any antitrust case, they'd ask if the market power of the company is even relevant for the public at large, which for a videogame publisher I'd tend to always say no. It's a different thing for a company owning major hardware or distribution infras
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I expect they will start outsourcing things to foreign countries with cheap labor that they frankly can't really do because it's going to create weird cultural problems to do so. On top of that they have already started trying to add even nastier microtransactions in.
You forgot to mention that over the top of the already steaming POS games they'll add a nice cover of AI slop.
And yet another round of mass layoffs.
Tainted goods. (Score:1)
So now the whole company and any of its franchises are permanently tainted.
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So now the whole company and any of its franchises are permanently tainted.
Now? EA could already lick my taint.
Meh... (Score:2)
that was electronic arts (Score:1)
https://www.youtube.com/watch?... [youtube.com]
that was electronic arts
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no, no one in ussr had adlib
so https://www.youtube.com/watch?... [youtube.com]
pc speaker all the way.
If we use madoka magica analogy (Score:2)
A private company is like a girl with a wish, trying to accomplish it on it's own
A public company is a girl that fell for the talk of kyubey and will sooner or later turn into a witch, and whatever EA is, is not back to a girl, but a demon
This is a good thing (Score:2)
Maybe now that they can be staffed by slave labour working under the threat of death they'll do more than shit out shitty reskins* of the same game.
What's the * for? Well the times they forgot to update textures and literally showed the logo from the previous year's release in the current release.
Fuck EA. They get what they deserve, couldn't have happened to a nicer company.
And same PIF tried to buy not the FIFA soccer (Score:2)
Supposed to make EA less evil? (Score:2)
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If they crash and burn hard enough perhaps they'll sell the sports titles to more reputable company.
Later EA (Score:1)
Later, EA. Can't say it's been nice knowing you.