A landmark $55 billion agreement has placed Electronic Arts, one of the world’s largest video game publishers, under the ownership of a consortium led by Saudi Arabia’s sovereign wealth fund. The acquisition represents the largest leveraged buyout in corporate history and marks a significant shift in the gaming industry’s financial landscape.
The investor group includes Saudi Arabia’s Public Investment Fund, which has been aggressively expanding its gaming portfolio in recent years; Affinity Partners, an investment firm led by Jared Kushner; and private equity firm Silver Lake, which maintains substantial holdings in gaming technology companies.
This transaction follows a pattern of substantial Middle Eastern investment in Western entertainment and technology sectors. The Saudi fund has previously acquired significant stakes in numerous gaming companies and established major esports tournaments in Riyadh, part of a broader strategy to diversify the kingdom’s economic interests and global influence.
Electronic Arts, known for blockbuster franchises including EA Sports FC, Madden NFL, The Sims, and Battlefield, reported over $2 billion in profit during its most recent fiscal year. The company’s extensive catalog spans three decades of gaming history, from role-playing series like Dragon Age to cooperative titles such as It Takes Two.
Industry analysts have raised concerns about the acquisition’s financial structure, which reportedly burdens the publisher with approximately $20 billion in high-interest debt. This has prompted speculation about potential cost-cutting measures, workforce reductions, or increased monetization strategies within popular game modes.
The deal has generated apprehension among both developers and players, particularly given the contrast between Electronic Arts’ diverse global audience and the human rights record of one of its new primary investors. The Sims franchise, for instance, maintains one of gaming’s largest LGBTQ+ communities.
Electronic Arts CEO Andrew Wilson, who stands to gain substantially from the transaction, assured employees in an internal communication that the company’s “values and commitment to players remain unchanged.” He emphasized opportunities for “amplified creativity” and “accelerated innovation” under the new ownership structure.
The acquisition represents the latest in a series of major gaming industry consolidations, following Microsoft’s purchase of Activision Blizzard in 2022. The transaction’s completion will fundamentally reshape one of gaming’s most established publishers and likely influence the industry’s trajectory for years to come.
