EA's $55B Power Play: Gaming Giant Goes Private in Epic Deal

TechnologySeptember 29, 20253 min read

EA's $55B Power Play: Gaming Giant Goes Private in Epic Deal

EA's $55B Power Play: Gaming Giant Goes Private in Epic Deal

EA's $55B Power Play: Gaming Giant Goes Private in Epic Deal

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Electronic Arts, or EA, is one of the most well-known video game companies in the world. Recently, EA agreed to be sold for an incredible $55 billion, making it the largest leveraged buyout ever in the gaming industry. The buyers are a group that includes Saudi Arabia's Public Investment Fund, Silver Lake, and Affinity Partners, which is linked to Jared Kushner. EA is famous for creating and publishing hit games like EA FC, The Sims, and Mass Effect. EA FC, which used to be called FIFA, has sold 325 million copies since its first release in 1993. The Sims has sold more than 200 million copies, and Need For Speed has sold over 150 million. EA has also published games based on popular movies, such as Harry Potter and James Bond.

This deal will make EA a private company, meaning its shares will be bought up and it will no longer be traded on the stock market. The purchase price is $210 per share, which is 25 percent higher than EA's previous market value. Andrew Wilson, EA's CEO, will continue to lead the company. He said the deal is a strong recognition of EA's achievements and promised to keep creating exciting experiences for gamers. The buyers will contribute about $36 billion, while the rest of the money will be borrowed. Some experts in the gaming industry are concerned about the amount of debt involved in the deal. They worry that EA will need to use the money it makes from popular games like EA Sports FC, Madden, and Battlefield 6 to pay off the debt, which could limit its ability to invest in new games. There are also concerns that the new owners might push for more cost-cutting to increase profits, which could lead to job losses at EA.

Saudi Arabia has been expanding its influence in the gaming world. In March 2025, its investment fund bought Niantic's gaming division for $3. 5 billion, giving it control of Pokémon Go. Saudi Arabia also owns Scopely, the company behind Monopoly Go, which it bought for $4. 9 billion in 2023. The country has hosted major eSports tournaments, including the eSports World Cup, and will host the Olympic esports Games in 2027. Saudi Arabia already has investments in other big gaming companies like Nintendo and Take-Two Interactive. The purchase of EA is a major step in increasing its presence in the industry. The Public Investment Fund has hundreds of billions of dollars from oil wealth and is controlled by Prince Mohammed bin Salman. Some people have criticized the Saudi government, but it denies any wrongdoing.

This historic deal shows how important video games have become in today's world. EA has been a leader in the industry for over 40 years, and now it will be owned by new partners. Many people are watching to see how this change will affect EA and the future of gaming.

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"EA has made many popular games like EA FC, The Sims, and Mass Effect."

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