Electronic Arts goes private after landmark acquisition
Electronic Arts, the video game company behind franchises such as The Sims, Madden NFL and Battlefield, has been acquired by Saudi Arabia’s Public Investment Fund and a group of investors in a deal valued at $55 billion.
The company announced the completion of the transaction on Tuesday evening after receiving final regulatory approval from the European Union.
The acquisition marks one of the largest buyouts in gaming history and ends Electronic Arts’ 36-year run as a publicly traded company.
Saudi investment group leads acquisition
Electronic Arts was purchased by Saudi Arabia’s Public Investment Fund (PIF), along with Affinity Partners, the private equity firm founded by Jared Kushner, and Silver Lake Partners.
“EA has created stories, characters, and communities that have become part of everyday life for hundreds of millions of people,” Kushner said.
He added that the investors are excited to support the company as it expands its audience, develops new creative opportunities and continues building global gaming communities.
Saudi Arabia expands gaming investments
The acquisition reflects Saudi Arabia’s broader strategy of investing in gaming, esports, sports, media and entertainment.
The Saudi royal family has increased its presence in the gaming industry in recent years, while Crown Prince Mohammed bin Salman has also been known as a gaming enthusiast.
EA’s history and gaming portfolio
Electronic Arts was founded in 1982 by former Apple employee William “Trip” Hawkins.
Hawkins developed an early interest in sports video games after playing analog baseball and football games created by Strat-O-Matic during his teenage years in the 1960s.
Current CEO Andrew Wilson has led the company since 2013.
EA remains one of the most recognized names in gaming, particularly through its sports franchises. Its EA Sports FC series, previously known as FIFA, remains one of its biggest global properties.
Gaming industry faces increasing competition
Although EA continues to maintain a large and loyal player base, the company’s annual revenue has remained relatively stable in recent years, ranging between $7.4 billion and $7.6 billion.
The company has faced increased competition from mobile gaming companies and major industry players such as Epic Games.
One of EA’s largest rivals, Activision Blizzard, was acquired by Microsoft in 2023 for nearly $69 billion.
Private ownership changes company oversight
As a private company, Electronic Arts will no longer be required to publish quarterly financial reports, reducing some of the public market pressure associated with meeting short-term targets.
Analysts note that private ownership can sometimes lead to restructuring or cost reductions at companies transitioning away from public markets, although there has been no indication that EA plans such measures.
Electronic Arts reduced its workforce by approximately 5% in 2024. The company had around 14,500 employees as of March 2025 and eliminated several hundred positions in May.
Recent challenges before acquisition
The acquisition follows a difficult quarter for EA, which reported lower-than-expected revenue due partly to reduced engagement with its latest Battlefield release.
