Electronic Arts is reportedly on the verge of a $50 billion buyout that would take the company private. The video game giant has been publicly traded for decades, debuting on the stock market all the way back in 1990, and has since grown into one of the most recognizable names in the gaming industry. Now, things could be changing for EA, with a potentially record-breaking deal on the horizon.
So far, the year has offered a mix of ups and downs for the publisher. While the revamped Skate has largely faltered among fans, the company had a massive hit on its hands with Split Fiction. There's more yet to come, as Battlefield 6's open beta drew over 500,000 concurrent players on Steam, more than any Call of Duty game to date. As big as Battlefield is looking, though, it may not be the biggest news for EA, depending on how its reported sale plays out.
EA Sets Very High Player Number Expectations for The Next Battlefield Game
Publisher EA predicts that the next Battlefield game will attract an extremely high number of players to purchase and play the game.
EA May Go Private in Record-Breaking Buyout
According to a report from the Wall Street Journal, "people familiar with the matter" have said that a group of investors is preparing for a roughly $50 billion buyout of EA. While EA lost $6 billion in shareholder value at the start of the year after some underperforming titles in 2024, its market value currently sits around the $43 billion mark. However, according to WSJ's sources, price discussions are still ongoing, and a figure closer to $50 billion is not out of the question. That would solidify the deal as the largest leveraged buyout in history, not just within the gaming industry, and the sale would also take the company private after years of being open to public trading on the stock market.
The investors reportedly include private equity firm Silver Lake Technology Management and Saudi Arabia's Public Investment Fund. It wouldn't be the first time the country invested in a video game business. In 2023, Saudi Arabia became Nintendo's largest investor after the Public Investment Fund bought over 8% of the company. However, leveraged deals like this EA buyout are relatively rare today, with most large purchases either taking the form of a conventional acquisition or buying up shares of a public company.
It's unclear for now when the deal might go through, as well as what the final terms will be. How this will shape EA's future is likewise uncertain. Historic as the buyout would be, though, it likely wouldn't break the record for the largest video game deal overall. Microsoft paid $68.7 billion to acquire Activision Blizzard in a move that drew much scrutiny from lawmakers. Regardless of how the EA purchase turns out, though, it's a big moment for the company and gaming as a whole.
- Date Founded
- May 27, 1982
- Headquarters
- Redwood City, California, United States
- CEO
- Andrew Wilson
- Subsidiaries
- EA Sports, Respawn Entertainment, BioWare, EA Vancouver, DICE, Codemasters, EA Mobile
- Known For
- FIFA, EA Sports UFC, Battlefield, Dragon Age, The Sims