Video game maker EA bought by Saudi-led group for $55bn
Company acquired in deal involving Affinity Partners, a firm run by Donald Trump’s son-in-law Jared Kushner Electronic Arts, the maker of video games such as The Sims, Madden NFL and Battlefield, has been bought by Saudi Arabia’s wealth fund and a group of investors for $55bn (£41bn). The company announced the completion of the deal on Tuesday evening, only days after the EU gave its approval,…
Electronic Arts, the renowned video game developer responsible for iconic titles such as The Sims, Madden NFL, and Battlefield, has been acquired by a consortium including Saudi Arabia's Public Investment Fund (PIF) and a private equity firm, Affinity Partners, led by Donald Trump's son-in-law, Jared Kushner. The deal, completed on Tuesday, marks one of the largest buyouts in history, valued at $55 billion.
This acquisition culminates EA's 36-year history as a publicly traded company, moving it into private ownership. Jared Kushner, the orchestrator of the deal, expressed his excitement about EA's contributions to entertainment, stating, "We're excited to support the company as it continues to reach new audiences, inspire the next generation of creators, and expand the ways people around the world connect through play."
The Saudi-led investment group has shown a long-standing interest in the gaming industry, alongside sectors like sports, media, and entertainment. Saudi Crown Prince Mohammed bin Salman, known for his affinity for gaming, is a significant figure in these investments. Electronic Arts was founded by William "Trip" Hawkins, an Apple veteran, in 1982, and has been under the leadership of CEO Andrew Wilson since 2013.
Despite maintaining a devoted fanbase, EA's annual revenues have remained relatively stagnant, fluctuating between $7.4 billion and $7.6 billion in recent years. The gaming landscape has become increasingly competitive, with mobile game developers posing significant challenges. Notably, EA's main competitor, Activision Blizzard, was purchased by Microsoft for nearly $69 billion in 2023.
As a private entity, EA is no longer bound by the quarterly financial reporting obligations of a public company, potentially offering more strategic freedom. However, this transition may also lead to job reductions and cost-cutting measures, although no such steps have been announced specifically for EA. The company underwent a workforce reduction of approximately 5% in 2024, bringing its total employee count to 14,500 as of March 2025.
A recent quarterly report by EA revealed lower-than-anticipated revenues, attributed to a decline in engagement with their latest Battlefield game.
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