Electronic Arts (EA), the storied American video game titan behind beloved franchises like Battlefield, The Sims, Need for Speed, and Madden NFL, is set to embark on a bold new chapter after a record-shattering $55 billion leveraged buyout. Announced on October 6, 2025, and orchestrated by a global consortium led by Saudi Arabia’s Public Investment Fund (PIF), U.S. private equity powerhouse Silver Lake, and Jared Kushner’s Affinity Partners, the deal is already sending ripples through the gaming industry and beyond.
Valued at $210 per share—a 25% premium over EA’s unaffected stock price—this acquisition is the largest buyout on record for the gaming sector and the second-largest deal in gaming history, just behind Microsoft’s $69 billion purchase of Activision Blizzard in 2023, according to CNN and Reuters. The consortium’s financing mix includes roughly $36 billion in equity and $19 to $20 billion in debt from JPMorgan, making it the largest all-cash sponsor take-private ever, as reported by CNBC and Quasa.
Founded in 1982 and headquartered in Redwood City, California, EA will now transition from a publicly traded company to a private entity. This move, according to CEO Andrew Wilson, will free EA from Wall Street’s relentless quarterly demands and allow it to focus on long-term innovation. In a press release, Wilson praised the company’s achievements: “Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business.” He assured, “Our values and commitment to players remain unchanged.”
But behind the corporate optimism, the deal raises a host of questions and concerns—about the future of EA’s franchises, the motivations of its new owners, and the broader implications for the gaming industry. The new controlling trio—Saudi Arabia’s PIF, Silver Lake, and Affinity Partners—now holds the keys to a treasure trove of intellectual property, including Battlefield (with over 150 million players), Need for Speed, EA Sports FC (formerly FIFA, boasting more than 700 million players), The Sims (which has sold 200 million copies), Apex Legends, Madden NFL, Dragon Age, and the Star Wars games. These aren’t just games—they’re cultural touchstones shaping the experiences of generations of players worldwide.
The strategic rationale for the buyout is clear: as the post-pandemic gaming market cools and consumers tighten their belts amid higher prices, companies are looking to squeeze more value out of popular franchises. One major avenue? Media crossovers. EA has already announced plans to partner with Amazon’s MGM Studios to produce a film adaptation of The Sims, following the runaway success of Sony’s The Last of Us TV series in 2023. The industry is now abuzz with projects like Amazon Prime’s Fallout series, a new season of Arcane from Riot Games, Warner Bros’ Minecraft Movie, and sequels for Super Mario Bros and Mortal Kombat. As Raymond James analysts put it, “The direction of travel is clear in the longer term, and the value of high-end video gaming IP is only increasing as players continue to concentrate engagement among fewer, more popular franchises and games.”
For Saudi Arabia, the acquisition represents a dramatic step in its Vision 2030 plan to diversify its economy away from oil and position itself as a global entertainment and technology hub. PIF’s gaming arm, Savvy Games Group, already owns stakes in Nintendo and Take-Two Interactive and has made high-profile moves in sports and animation. The kingdom is also hosting the 2025 Esports World Cup and has its sights set on the 2027 Olympic Esports Games. “Gaming has cultural influence,” industry analyst George Osborn told Quasa. “By owning these IPs, they’re attracting a generation to their narrative.”
Jared Kushner, whose firm Affinity Partners is partially backed by PIF, called EA “an extraordinary company with a world-class management team and a bold vision for the future.” He added, “I’ve admired their ability to create iconic, lasting experiences, and as someone who grew up playing their games—and now enjoys them with his kids—I couldn’t be more excited about what’s ahead.”
Still, not everyone in the gaming world is celebrating. For shareholders, the $210-per-share buyout is a windfall. But for gamers, especially the devoted “simmers” who play The Sims, there’s anxiety about what private ownership might mean. Michael Futter, founder of consultancy F-Squared, told CNBC that EA will likely have to lean even harder on microtransactions and battle passes to service the deal’s massive debt burden. For The Sims community, this could mean even more downloadable content (DLCs) and expansion packs—an already contentious topic as players have long complained about the cost of assembling a complete game experience.
Kayla Sims, a popular The Sims streamer, voiced widespread concerns in a recent video: “The Sims has been an inclusive game for a very, very long time. And it horrifies me to think of them rolling back that progress, or somehow censoring the game. I think that making a change like that would alienate the entire base of The Sims.” She added, “These people are buying EA because they think it’s going to make them a lot of money. So all of their decisions are motivated by money, and I think that to make The Sims less diverse would be a catastrophically bad decision.”
There are also worries about potential layoffs, restructuring, and budget cuts as EA adapts to its new financial realities. The company already laid off 5% of its workforce last year after the pandemic boom faded, and further changes may be on the horizon. “Consolidating IP during a down market has its short-term benefits, but more often than not, ends up running into inefficiencies and a devaluation,” warned Joost van Dreunen, a games professor at NYU Stern School of Business, as quoted by Reuters.
Meanwhile, the deal’s geopolitical overtones have drawn both intrigue and criticism. Some see Saudi Arabia’s investment as “sportswashing”—an attempt to burnish its global image through cultural influence—while others argue it’s a savvy business move that could unlock new opportunities for innovation. Kushner’s involvement, given his ties to former U.S. President Donald Trump and recent PIF investments, has only added to the controversy, with critics raising concerns about potential censorship or shifts in company culture.
The acquisition is expected to close in the first quarter of fiscal year 2027, pending regulatory approval. As the dust settles, one thing is certain: the gaming landscape will never be quite the same. Whether this new era brings more creativity and global reach—or higher costs and cultural clashes—remains to be seen. But for now, the controllers are in new hands, and the next level of the game is about to begin.
